While we may be focused on unemployment in the United States, the loss of jobs has become a truly global affair. Next year, unemployment rates in the industrialized world are expected to hit their highest levels since the second world war, according to the Organization for Economic Cooperation and Development (OECD).

Projections put the jobless rate for the 30 countries that belong to the OECD at 10% in the second half of 2010, which translates to 57 million people without jobs. Unemployment reached its highest post-war level in June at 8.3%. The organization calls the short-term outlook "grim," especially with the early stages of a recovery next year anticipated to be cautious.

The International Energy Agency Thursday increased its 2008 global oil demand forecast slightly, citing China's oil demand, the agency announced.

In its monthly report, the IEA increased global oil demand forecast by 0.1% , or 80,000 barrels per day, to 86.85 million barrels per day. The IEA serves as an energy advisor to 27 industrialized nations, including the United States, United Kingdom, Germany, France, and Japan. Oil rose $1.03 to $137.08 per barrel in Thursday morning trading.

Economist David H. Wang told BloggingStocks Thursday he expects China's oil demand increase in 2008 to be "roughly in-line with the IEA's 5.6% growth forecast."

"China may end up registering oil demand growth less than 5.6%, if the Chinese Government continues to gradually increase the retail price of gasoline and diesel," Wang said. "My research indicates we are not seeing demand destruction yet in China, but this could change. Gasoline now costs about $3.30-$3.50 [per gallon] and if China approves another round of increases, demand could begin to be pinched, as it has in the United States."

Another gas price hike in China?

However, Wang said investors / traders should not assume another gasoline price increase nor lower oil demand in China. "China is trying to take pressure off energy prices and slow its economy, but there's only so much they can increase prices before they have serious consequences on its economy," he said. "The middle class can withstand the price increases but may others with lower incomes can not."

The Organization for Economic Cooperation and Development again cut its forecast for 2008 growth in its 30-nation membership -- this time to 1.8% from "less than 2%" -- saying that while the worst of the credit market stress is over, its impact on the global economy is not. [pdf] The OECD now sees 2009 GDP growth in the 30-nation region totaling 1.7%

Both yearly forecasts were weighed down by a lower GDP growth forecast for the U.S. economy, with the OECD now seeing the world's largest economy growing by a scant 1.2% in 2008 and 1.1% in 2009, down from earlier forecasts of 2.3% and 2.4%, respectively. The United States economy is now confronting strong headwinds -- a housing slump, a credit squeeze and inflation, the latter of which is eroding workers' disposable income, the OECD said.

The OECD expects Europe's euro-zone region to grow 1.7% in 2008 and 1.4% in 2009. Japan's economy is expected to grow 1.7% and 1.5% during the same periods.

Emerging market boom seen continuing

Meanwhile, growth in most emerging market nations is expected to remain strong, led by China, India and what appears to be a new economic rising star, Brazil.

The Organization for Economic Cooperation and Development cut its forecast for 2008 growth in its 30-nation membership to "less than 2%" -- the lowest growth rate since 2003 -- due to fallout from the U.S. economic slowdown, Bloomberg News reported Wednesday.

Sixth months ago, the OCED predicted that 2008 growth in the 30-nation zone would total 2.3%, following 2.7% growth in 2007.

The growth revision marks a substantial shift in OECD expectations. Earlier, the OECD predicted that member economies would be to withstand the U.S. economic slowdown without considerable negative consequence. That outlook, along with economic analysis from other countries, helped form the basis for the so-called 'decoupling thesis' -- where Europe and other developed countries race along unscathed by the doldrums in the world's largest economy.