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Monday, July 22, 2013

Unemployment Benefits Applications Drop To 334k: Economy Improving?

Unemployment Benefits Applications Drop To 334k: Economy Improving?

Unemployment Benefits Applications Drop To 334k: Economy Improving?, With unemployment benefits applications dropping to 334,000, is the US economy’s unemployment rate and economy improving?

As previously reported by The Inquisitr, unemployment benefits were slashed in two states recently. The unemployment rate is largely being bolstered by temp work.

Any improvements to the US economy as measured by unemployment benefits applications are slow in coming. Last month, the number of unemployment benefits applications dropped to a relative low of 336,000. The recent four-week average as determined by the Labor Department has dropped to 351,000.

Unemployment benefits applications coincide with layoffs or firings of employees. So, for the number of unemployment benefits applications to drop by five percent since January is a good sign for the US economy. The Associated Press says US auto makers typically shut down their factories in July to prep for new models, but strong demand kept the factories running longer.

Unfortunately, the US unemployment rate is still stuck at 7.6 percent. But many of these jobs include those who are underemployed or part-time workers with low pay. US economic growth is dropping to one percent or less, which is not enough to keep up with the annual tide of high school students and college students who are graduating and looking for jobs.

Even if annual US GDP growth were to reach 3.5 percent, which is about the average from years prior to the Great Recession, employment would increase by one percent or 1.44 million people. But every year 2.2 million people become age 18, which means they’re part of the US labor force. Since 2007, the number of potentially employable people has grown by 12.4 million, but the number of jobs only increased by 1.9 million, which by itself largely explains the US unemployment rate.

Unemployment Benefits Applications Drop To 334k: Economy Improving? Rating: 4.5 Diposkan Oleh: Tips SEO Youtube 2019


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