...Unemployment in the United States Unemployment is something that has been problematic in the United States for over a hundred years. Throughout the last century the United States has seen Unemployment rates that have been high as well as rates that have been low. During the past two or three weeks I have been researching the topic beginning with October 29th, 1929, the start of the great depression, all the way until modern day. It has been an interesting few weeks and I’m excited to analyze everything that I have discovered. The Great Depression is considered to be the largest and longest lasting crash that the American economy has taken to date. The Great Depression really began during the summer of 1929. That summer American consumer spending began to fall, and this caused unsold product to gather. While this was occurring the prices of stock kept rising, and by October of 1929 the stock prices were unreasonably high. October 24th is known as black Thursday; on this day nearly 13 million shares were trades which scared the people of Wall Street. October 29th 1929 fell on a Tuesday that year. This was the day that the great depression truly started. Almost 16 million shares were traded on this day. It created a panic on Wall Street and soon after millions of investors lost all of their money. The loss of money in circulation caused consumer spending to drop, and this caused the supply of products to drop. Many companies went out of business, and those who didn’t lay off...
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...U.S. Unemployment Rate- January 2013 According to the Bureau of Labor Statistics (BLS), the U.S. unemployment rate was essentially unchanged for January at 7.9% (http://www.bls.gov/news.release/empsit.nr0.htm). Although nonfarm payroll increased by about 157,000 the unemployment rate wasn’t affected and has remained at or near the same rate since September 2012. The year over year (Jan. 2012 to Jan. 2013) unemployment rates dropped by about .4%, down from 8.3%, but the number of persons not in the labor force also grew by about 1.1 million over the same period. Industries that reported adding jobs were retail, construction, health care, and wholesale. Industries that shrank included transportation and warehousing. Looking at unemployment by major worker groups (adult men, adult women, teenagers, whites, blacks, Hispanics, and Asians) was unchanged. Also unchanged was the number of long-term unemployed at about 4.7 million, accounting for 38.1% of the overall unemployed. These are individuals who have been searching for work for 27 weeks or more. In January, the number of persons marginally attached to the workforce dropped by about 366,000 to 2.4 million. Of these 2.4 million, 804,000 were not counted in the unemployment rate due to being considered discouraged and 1.6 million were not counted in the unemployment rate because they had not searched for work in the prior four weeks for reasons such as school or family responsibilities. According to a New...
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...there a relationship between rising US unemployment and the rise of the Canadian dollar? Canada’s financial stability depends on the health of America’s economy, as international trade accounts for 45% of Canada’s Gross Domestic Product (GDP) and 79% of exports are to the United States. Canadian and American unemployment rates are positively correlated for that reason, as exemplified in early 2009. Canada’s unemployment rate quickly steepened as the United States’ rate gradually increased to about 10% (refer to graph 1 and 2). During this time, Canada’s growing trade surplus became a deficit in only a few months (refer to graph 3). From this data, one can determine that Canada’s exports decreased rapidly due to rising economic turmoil in the United States. The effects on the dollar seemed to positively correlate. Canada’s dollar decreased in value compared to the US dollar; however, concluding that the reason for this change was due to the U.S. unemployment rate is inaccurate. The ever-changing exchange rate of the dollar is determined by many factors. As of 2011, Canadian and American unemployment rates remain high at approximately 7.3% and 9%, respectively. In addition, a trade deficit continues to exist in Canada. Nevertheless, the Canadian dollar is gaining strength over the American dollar, which contrasts with the weakened exchange rate in 2009 when the same conditions existed (refer to graph 4). Therefore, rising U.S. unemployment can have a positive or negative affect...
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...large spatial disparities in unemployment within national economies is a central issue in regional economics. Explanations that exist within the literature for why regional unemployment disparities have been so much more persistent over time in the EU than in the US can be broadly separated to the hysteresis and equilibrium arguments. Before illustrating the analysis and strength of these arguments it is important to ascertain the scale of persistent unemployment disparities across EU regions and U.S states, and why this may be a cause for concern. Regional disparities in unemployment rates are dramatically significant in Europe. In 2001, the average unemployment rate in the EU was 7.8%, but it ranged from 1.7% in Berkshire (UK) to 24.9% in Calabria (Italy).[1] These disparities are present even within single countries, where the range of unemployment rates is much higher than in the US. Disparities in European regional unemployment rates are also extremely persistent. In the US the correlation between regional unemployment rates between 1997-2004 is only 0.3, indicating that over two-thirds of any regional unemployment problem is solved over that period. In Europe, however, the correlation averages 0.83, suggesting that very little adjustment takes place. (Figure 1 in Appendix)[2] This is not a recent phenomena but persistence appears to have been the main feature of behaviour of regional unemployment disparities in European regions...
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...Econ 202 Unemployment in the US The unemployment rate in the United States has gone through changes in the past few years. It can fluctuate from high to low depending on our economy’s stability at the time. With the economy in a recent recession the level of unemployment rose. This affected millions of US citizens as well the US GDP levels. When citizens are out of work fewer products are being purchased and retail starts to decline. The US economy is slowly coming out of the financial crisis and recession within the last recent years. It wasn’t until the past year of 2011 did our economy see a positive turn around and unemployment levels began to decline. The Unites States economy has been showing increasingly positive signs throughout the year 2011. The unemployment rate fell recently in 2012 and is continuing to show good signs for a better economy. As of January 2012 the unemployment rate has fell to 8.3% in the Unites States. This is the lowest level the economy has seen since February 2009. Since August 2011 the unemployment rate has decreased by .8%. The widespread unemployment experienced in the last recent years is not the worst the US economy has ever experienced. The unemployment rate in the US averages 5.70 % from 1948 to 2010. The worse rate experienced was a record high for unemployment during November of 1982 with a 10.80% rate. There is hope though for the future with the unemployment rate slowly declining. In last several years...
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...US jobless rate stays above 8% for 43rd straight month: Survey – The Straits Times Sept 03, 2012 Introduction: This article discusses the unemployment rate in US. The unemployment rate has exceeded 8 per cent since February 2009. Payroll gains slowed from an average 226,000 in the first quarter to 73,000 in the April to June period, before picking up July. Including the July advance, it has taken the US three years to recover about half of the 8.8 million jobs lost as a result of the 18-month recession ended in June 2009. Additionally in September, 2012, there are about 6.5 million people that are job losers and persons who completed temporary jobs according to U.S. Bureau of Labor Statistics. This unemployment number is an imperfect measure because it excludes both marginally attached workers and part-time workers who want full-time jobs. The two economic issues we would cover in this paper are: 1) Lost Incomes and Production; 2) Structural Unemployment. Discussion: 1) The Lost Incomes & Production • Basically, unemployment creates personal hardships due to loss of opportunity of earning income. The loss of income results in less consumption and a lower living standard. While this problem applies to any resource, it is most important for labor. The owners of capital, land, and entrepreneurship can often earn income from more than one resource. Thus a loss of income from one resource is not a total loss of income. Many workers, however, often earn income...
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...Unemployment in the World Today Today, we face economic struggles that seem to have no end. We face many different problems from our forefathers because things are just different today. Technologies, the way people do even the simplest tasks change everyday and the world has to change along with it. The Unites States has now entered a Recession. “A recession is a general slowdown in economic activity in a country over a sustained period of time, or a business cycle contraction. During recessions, many macroeconomic indicators vary in a similar way. Production as measured by Gross Domestic Product, employment, investment spending, capacity utilization, household incomes and business profits all fall during recessions. (Recession)” Many different people have many different solutions to this recession problem. Some do not even see it as a problem. There are also many different reasons that people believe it happened. The face is that a recession today is not okay. In this essay, I am going to write on unemployment and how it is affecting us today. Unemployment is a huge problem with recessions, people have to work to simply live. However, some unemployment is unavoidable. When people stop working then they get more dependent on the government, and the government really does not need that. Especially when we are so far in debt as we are now. The governments debt of today is $11,047,905,411,741.70 and that is not a good thing for us as Americans or future generations of Americans...
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...Testing Phillips Curve in long run in the US Economy Introduction: Phillips curve is one of the most startling observations made in economics and gained much popularity in 1960s. The inverse relationship between unemployment rate and inflation rate was first observed by William Phillips in 1958 in his study on British economy during the period 1861-1957. For many years this relationship has been used by policy makers to target unemployment and inflation levels. However, in recent times there are various doubts emerging to this concept as there are cases studied where the trade off between unemployment rate and inflation rate can be observed in the long run thus rendering this concept entirely short run in nature? (Phillips, A.W. cited in Ogbokor, 2005).It would be crucial yet interesting to test the validity of traditional long run Phillips curve as it used as a policy guideline and has had many controversies revolving around it for the same. Objective: Phillips Curve in the Long run: Examining the Long run relationship between unemployment rate and inflation rate in United States using univariate analysis (analysis based on descriptive statistics). Methodology: The data used for analysis has 58 observations collected over the period 1952-2008 consisting unemployment rate and inflation rate of US. It has been collected from Bureau of Labour Statistics and Measuringworth.com. We will make use of statistical tools to test the existence of relationship, if any...
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...Frictional unemployment is defined by Investopedia as “Unemployment that is always present in the economy, resulting from temporary transitions made by workers and employers or from workers and employers having inconsistent or incomplete information” and gives another example as a first-time job seeker may lack the resources or efficiency for finding the company that has the job that is available and suitable for him or her. As a result this person does not take other work, temporarily holding out for the better-paying job. Retrieved from http://www.investopedia.com/terms/f/frictionalunemployment.asp#axzz1ZfufVuVW on 10/01/2011. Wisegeek.com also defined functional unemployment as natural phenomena and is viewed as beneficial to both the economy and the worker. They went ahead to explain that any time someone is between jobs, this is considered frictional unemployment. Some common examples include craftspeople who are laid off between projects and people who quit their jobs to relocate or to seek out better employment. Retrieved from http://www.wisegeek.com/what-is-frictional-unemployment.htm on 10/01/2011. Based on the definitions given above, it is quite clear that frictional unemployment is inevitable. So far as no living thing lives forever, there comes a time where an employer goes out of business and or the employee quits. It is considered a natural circle which is actually healthy for the economy. Since economists say it’s not possible to have 0% unemployment frictional...
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...0.2 Per Cent Jump, Decline in Mining, Oil and Gas (Source: HuffPost Business) During the month of July, 2012 Canada has seen a 0.2 percent decline in its mining, oil and gas extraction. When looking at the different types of sectors, the manufacturing sector performed well with a 6.9% increase along with wholesale trade increase by 0.2%. Although Canada’s output has increased by 1.9%, its weakness still lies in the export sector with a $2.9 billion trade deficit for the month July. Summary: Unemployment rate holds steady at 7.4% (Source: CBC NEWS) According to Statistics Canada, Canada’s unemployment rate remained at 7.4% in October. In addition, October’s unemployment in 7/12 provinces and territories has increased especially in P.E.I with the highest unemployment rate increase by 11.7%. However, the city with the greatest increase in unemployment rate is Toronto with 8.6%. When comparing Canada’s overall unemployment rate with the U.S., the U.S. has a higher unemployment rate at 7.8%. Relation to Chapters 10 and 11 According to the Statistics Canada’s July 2012 report, there was a $2.3 billion trade deficit in Canada, indicating that Canada’s weakness lies...
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...privatization as “Privatization is the process of transferring property from public ownership to private ownership and/or transferring the management of a service or activity from the government to the private sector”( Varner, 2006, p. 1). This paper assumes and proposes the privatization as independent variable and analyzes its impact on unemployment. So being an independent variable in a study it is very much appropriate to identify different aspects related to privatization. The significant contribution of Varner (2006) is that he has specified the forms of privatization as; “Complete Privatization, Privatization of Operations, Use of Contracts, Franchising, and Open Competition” (p. 1). In addition, he said that moves address the idea of reason what may be the causes ultimately ends up in privatizing the public entities. The provided list of seven reasons “Cost Reduction, Risk Transfer, Source of Revenue, Quality of Service, Expertise, Timeliness, Flexibility” (Varner, 2006, p. 4-6) may not be exhaustive one it has identified vary much prevalent potential causes also applicable in global scope. The other study variable proposed dependant is unemployment. Does literature any evidence regarding the very fact that privatization results in or...
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... | | |2011 | |Give Us This Day Inc. (GUTD) is a 501 © 3 organization dedicated to finding individuals facing |“It is our calling and passion to help | |adverse circumstances permanent employment and social assistance. |society’s forgotten.” | | | | Dear Dr. Smith: We are submitting herewith our report entitled GUTD Growth Plan as an introduction to our mission and to request your consideration to use us as one of your career placement resources for your patients. The main purpose of this report is to give you a better understanding of who we are as a organization and an attempt to see if you could utilize any of our services. We hope that this report will merit your approval. Respectfully yours, Betty Fulmore Table of Contents 4. Executive Summary 5. Introduction 6. Problem Statement 7. Method 8. Findings 9. Analysis 10. Conclusion 11. References Executive Summary: Give Us This Day Inc. (GUTD) is a 501 © 3 organization located in Durham, NC dedicated to finding individuals facing adverse circumstances permanent employment and social assistance. Job security is one of the key components...
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...I define a social problem as a negative event or circumstance, that effects a wide range of people, but is also viewed as an issue to a wide range of people. Further, something would unlikely be classified as a social problem if only three people saw it as a serious issue. When I think of social problems domestic violence, abortion, homelessness, and unemployment come to mind, just to name a few. I am going to focus on unemployment. Unemployment is an issue that not only effects the US, but effects other nations around the world. Although the unemployment rate in the US is about 2% lower than it was in 2014, it is still an issue, especially for those who are personally effected by it. The unemployment rate for the US is currently 4.80%, according...
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...econs Question 1: HCI Prelim 2007 The unemployment rate in Singapore increased from 2.7% in 2001 to 4.2% in 2005. | (a) | Explain the main causes of unemployment in Singapore in recent years. | [10] | Introduction Define unemployment. State that there are mainly 3 causes of unemployment in Singapore. Cyclical unemployment in Singapore State Cyclical unemployment is related to the business cycle. Elaborate During an economic downswing (recession or depression), aggregate demand decreases and firms find they cannot sell all their current output, and stocks pile up. Firms will then adjust to the deficiency of demand by cutting back on production and reduce workers, leading to an increase in cyclical unemployment. Exemplify Over the last 2 decades, recessions or economic slowdown have been largely triggered by external shocks to our economy such as the Asian Financial Crisis in 1997/98; global dotcom crisis in 2000/01; September 11 terrorist attacks in 2001; the SARS epidemic in 2003 and most recently the Global Financial Crisis (US sub-prime mortgage crisis) in 2008/09. The economy went into sharp contractions as a result of these external shocks. These shocks badly affected our export trade with the rest of the world, tourism and international banking as well as financial services sectors. In short, it hit our export revenue (X) and investment (I) components of AD causing domestic output to fall. And since exports from Singapore are dominated...
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...condition of the unemployment position is in today’s present economy, The Bureau of Labor Statistics (BLS) calculations shows that as of July 2014, the nation is at a rate of 6.2%. (Economy at a Glance, 2014) The state of Tennessee has a higher unemployment rate than the national average. It is 7.1% (Economy at a Glance, 2014) The BLS define both “unemployed person and unemployment rate as follows: Unemployed persons (Current Population Survey) Persons aged 16 years and older who had no employment during the reference week, were available for work, except for temporary illness, and had made specific efforts to find employment sometime during the 4-week period ending with the reference week. Persons who were waiting to be recalled to a job from which they had been laid off need not have been looking for work to be classified as unemployed. Unemployment rate The unemployment rate represents the number unemployed as a percent of the labor force. (BLS Information, 2014) It was further shown during the course of research that both the unemployment rate (6.2 percent) and the number of unemployed persons (9.7 million) improved slight in July. In the course of the last 12 months, the unemployment rate and the amount of unemployed persons have dropped by 1.1% and 1.7 million, in that order. The unemployment rate ticked up to 6.2 percent in July from 6.1 percent in June. (Ahead of the Bell: US Unemployment Benefits, 2014)...
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