The pundits on CNBC get all giggly when we lose "only" 550,000 jobs -- a true sign of the times. Uber analyst Meredith Whitney, one of the few people on Wall Street who has been worth listening to during the past three years, is forecasting 13% unemployment in 2010 or 2011.
Officially, unemployment currently stands at 9.8%. But if you add in part-time workers wanting more work and the people who are so discouraged they have stopped looking, the number is a shocking 20%.
Unemployment puts pressure on wages (which are stagnant) and hours worked (which are decreasing). This all adds up to falling national income, which means consumers are afraid to spend money.
Next: Reason #3: Consumers are afraid to spend money
Closing Bell: Dubai sends jitters throughout the market (S, BBY)
Heinz looking good after the second quarter?
Why isn't Bank of America updating its shareholders on CEO situation?
Reader Comments (Page 1 of 1)
10-24-2009 @ 11:12AM
sonnype said...
Our Government doesnt care if Americans have jobs it only cares that Wall Street is doing well and that the fat cat greedy bankers are taken care of.
10-24-2009 @ 7:49PM
MICHAELKRIGSTEIN said...
ANOTHER REASON THAT THIS WILL BE A JOBLESS RECOVERY IS BECAUSE OF THE MILLIONS OF JOBS THAT OUR GOVT HAS LET BE OUTSOURCED UNDER THE BANNER OF FREE TRADE.
THE AMERICAN PEOPLE HAVE BEEN SOLD A BILL OF GOODS, AND I AM ASHAMED TO ADMIT THAT IT HAS BEEN THE BABY BOOMERS THAT ARE IN OUR GOVT THAT PERMITTED IT TO HAPPEN
OUR LEADERS TODAY THINK LESS OF THE AMERICAN PEOPLE THEN OUR FATHERS GENERATION DID (THE GREATEST GENERATION)
10-26-2009 @ 6:38AM
bubbles said...
there is no jobless recovery, there are at 350,000 unemployed people in new york that hasnt had a extended unemployment check for the last three weeks. what are we suppose to do , how are we suppose to live with no winter coats or boots for our children or not enough food on the table because food stamps dont give u alot......this is totally ridiuculous instead of the obamas dancing the night away in nyc he should be taking care of his new yorkers just like governor paterson, screw the health reform for now and give the new yorkers what they are entitled to back there extended unemployment until the senate or house passes it we might all be living on the grass of the white house how are we suppose to pay our rent and get our kids winter coats unbelievable no one cares about new yorkers anymore.......i received a notice from the governor saying i can get a pell grant up to five thousand dollars is that going to pay my rent or put food on my table or buy my kid a winter coat i dont think so..i would love to meet with the president and the governor to discuss this.......god bless all of us we will need it when more people get evicted from there aptments or homes because we couldnt pay our rent and electricity never mind a telephone or cable.