PDA

View Full Version : Unemployment Sounds Warning About Economy


LadyMod at scam.com
01-05-2008, 10:09 AM
It's not all rosey like the President wants everyone to believe. This man's policies has hurt our economy and we are about to feel the sting of it. And he's laughing with his corporate buddies all the way to the bank.

The Fed isn't going to be able to drop percentage points for long. Hell, they should have already stopped.

Unemployment Sounds Warning About Economy (http://www.nytimes.com/2008/01/05/business/05econ.html?_r=1&th&emc=th&oref=slogin)

By PETER S. GOODMAN and MICHAEL M. GRYNBAUM
Published: January 5, 2008

The unemployment rate surged to 5 percent in December as the economy added a meager 18,000 jobs, the smallest monthly increase in four years, the Labor Department reported on Friday.

Economists viewed the report as the most powerful indication to date that the United States could well be falling into a recessionary downturn. Evidence of widening unemployment heightened anticipation that the Federal Reserve would further cut interest rates this month, perhaps by an unusually large half a percentage point, in a bid to prevent the economy from sliding into the muck.

“This is unambiguously negative,” said Mark Zandi, chief economist at Moody’s Economy.com. “The economy is on the edge of recession, if we’re not already engulfed in one.”

A recession is typically defined as an extended period of at least several months during which economic activity shrinks and unemployment rises.

The swift deterioration in the job market resonated as a warning sign that troubles once confined to real estate and construction are spilling into the broader economy, threatening the ability of American consumers to keep spending with customary abandon.

On Wall Street, the report led to a big sell-off that sent the Dow Jones industrial average plunging nearly 2 percent.

As the presidential race heated up, Democrats seized upon the bleak job numbers to indict Republican-led economic policies. “This morning’s jobs report confirms what most Americans already knew,” Nancy Pelosi, the House speaker, said in a statement. “President Bush’s economic policies have failed our country’s middle class.”

....

Moby
01-05-2008, 12:36 PM
It's only a single month so the report in itself is not worth getting excited about.

Now, when looking at Dubya's resume and seeing the trail of failed and indebted dealings that he left behind the time to worry was in 2000. This is all to be predicted. You can't borrow $3 Trillion and allow China to take control of 10% of your total debt and expect the country or economy to stay strong.

Wait a minute. RG, Dubya, Cheney and Glenn Beck have all said that the President's economic plan is strong. Some have even called his plan genius.

$3 Trillion for this.