News / Economy

Official Says Latest Figures Show US Economy 'Healing'

VOA News
The U.S. economy had a net gain of 155,000 jobs in December, while the unemployment rate remained at 7.8 percent.

Friday's report from the Labor Department says many of the job gains were in manufacturing, construction and health care.

Government experts made an upward revision to November's unemployment rate, which originally was reported as 7.7 percent.-

Click to enlargeClick to enlarge
x
Click to enlarge
Click to enlarge
Just over 12 million people are counted as unemployed in the United States.  Nearly five million of them have been out of work for 27 weeks or more.  

The chairman of President Obama's Council of Economic Advisers, Alan Krueger, says "work remains to be done" to cut the jobless rate, but this new report shows the economy is "healing."

But economist Alan Levenson says at the current pace of job creation it will take more than a year to get jobless rate down to a healthy rate of 6 or 6.5 percent.  He is the chief economist for T. Rowe Price, a financial firm in Baltimore.

"We are creating enough jobs to lower the unemployment rate half a percentage point every 12 months," Levenson said.

US Hiring Steady in December Despite Fight Over Fiscal Cliffi
X
January 04, 2013 11:37 PM
The US job market held steady with employers adding 155 thousand jobs last month. While job gains in December were not big enough to reduce the nation's unemployment rate, analysts say it suggests employers were not spooked by the political bickering in Washington over the fiscal cliff. But as Mil Arcega reports, a bigger budget battle may be just around the corner.
Professor Phillip Swagel of the American Enterprise Institute says job growth has been steady over the past few months, but he adds that Washington's prolonged political wrangling over spending and taxes - the "fiscal cliff" - and worries about the national debt may have slowed the economy's improvement.

"It has got to be the case that the policy uncertainty, the political bickering, has affected spending both by businesses and consumers, and this affected hiring.  But you are right.  We don't see it.  The job growth has been relatively steady.  What might be the case is that this is the 'dog that didn't bark,' that hiring would be higher - 200,000 or maybe 250,000 jobs a month - were it not for the uncertainty caused by the policy tussles," Swagel said.
 
Economist Kevin Dunning says it is remarkable that we had even this much job growth at a time when politics in Washington made the outlook on taxes and government spending unclear for businesses and consumers.

"In that context, I think the latest jobs report is fairly upbeat, in the sense that it shows that businesses didn't pull back from hiring," Dunning said.
Dunning tracks business and economic trends in the United States for the Economist Intelligence Unit.

You May Like

Turkey's Controversial Reform Bill Giving Investors Jitters

Homeland security reform bill will give police new powers in search, seizure, detention and arrests, while restricting the rights of suspects, their attorneys More

Audio Slideshow In Kenyan Prison, Good Grades Are Path to Freedom

Some inmates who get high marks could see their sentences commuted to non-custodial status More

'Rumble in the Jungle' at 40

'The Champ' knocked Foreman out to regain crown he had lost 7 years earlier when US government accused him of draft-dodging and boxing officials revoked his license More

This forum has been closed.
Comments
     
There are no comments in this forum. Be first and add one

Featured Videos

Your JavaScript is turned off or you have an old version of Adobe's Flash Player. Get the latest Flash player.
Victorious Secularists Face Challenge to Form Government in Tunisiai
X
Henry Ridgwell
October 30, 2014 11:39 PM
Official results from Tunisia show the Islamist Ennahda party has failed to win the second free election since the so-called "Arab Spring" uprising in 2011. Ennahda, which handed power to a government of technocrats pending the elections, lost out to the secular party Nidaa Tounes. Henry Ridgwell reports from London that the relatively peaceful poll offers some hope in a volatile region.
Video

Video Victorious Secularists Face Challenge to Form Government in Tunisia

Official results from Tunisia show the Islamist Ennahda party has failed to win the second free election since the so-called "Arab Spring" uprising in 2011. Ennahda, which handed power to a government of technocrats pending the elections, lost out to the secular party Nidaa Tounes. Henry Ridgwell reports from London that the relatively peaceful poll offers some hope in a volatile region.
Video

Video Africa Tells its Story Through Fashion

In Africa, Fashion Week is a riot of colors, shapes, patterns and fabrics - against the backdrop of its ongoing struggle between nature and its fast-growing urban edge. How do these ideas translate into needle and thread? VOA’s Anita Powell visited this year’s Mercedes Benz Fashion Week Africa in Johannesburg to find out.
Video

Video Smugglers Offer Cheap Passage From Turkey to Syria

Smugglers in Turkey offer a relatively cheap passage across the border into Syria. Ankara has stepped up efforts to stem the flow of foreign fighters who want to join Islamic State militants fighting for control of the Syrian border city of Kobani. But porous borders and border guards who can be bribed make illegal border crossings quite easy. Zlatica Hoke has more.
Video

Video China Political Meeting Seeks to Improve Rule of Law

China’s communist leaders will host a top level political meeting this week, called the Fourth Plenum, and for the first time in the party’s history, rule of law will be a key item on the agenda. Analysts and Chinese media reports say the meetings could see the approval of long-awaited measures aimed at giving courts more independence and include steps to enhance an already aggressive and high-reaching anti-corruption drive. VOA’s Bill Ide has more from Beijing.
Video

Video After Decades of Pressure, Luxembourg Drops Bank Secrecy Rules

European Union finance ministers have reached a breakthrough agreement that will make it more difficult for tax cheats to hide their money. The new legislation, which had been blocked for years by countries with a reputation as tax havens, was approved last week after Luxembourg and Austria agreed to lift their vetoes. But as Mil Arcega reports, it doesn’t mean tax cheats have run out of places to keep their money hidden.
Video

Video Kobani Refugees Welcome, Turkey Criticizes, US Airdrop

Residents of Kobani in northern Syria have welcomed the airdrop of weapons, ammunition and medicine to Kurdish militia who are resisting the seizure of their city by Islamic State militants. The Turkish government, however, has criticized the operation. VOA’s Scott Bobb reports from southeastern Turkey, across the border from Kobani.

All About America

AppleAndroid

World Currencies

EUR
USD
0.7893
JPY
USD
107.68
GBP
USD
0.6238
CAD
USD
1.1214
INR
USD
61.185

Rates may not be current.