Saturday, March 23, 2013

30. Average for U.S. Jobless Claims at Fresh 5-Year Low


Many people are seeking jobs. The unemployment aid for people has hardly changed since last week. The average last month fell to a five year low making the decline in layoffs strengthen the job market. Thursday, the Labor Department said employment benefit applications rose to 2,000 to a seasonally adjusted 336,000. Applicants have dropped by 7,500 to 339,750 in the past four weeks. So far, that is the lowest since February 2008. Economists pay close attention to this four week average and it can smooth out weekly fluctuations. The decline in unemployment shows signs that companies are laying off less workers. It could be suggested that there are quite a few people that are not worried about future economic conditions. Since November, the four week average has fallen 15 percent. Also since November, employers have added an average of 200,000 jobs per month. Then in February, unemployment fell to a four-year low of 7.7 percent. The job market has benefited from strong auto sales housing. Homebuilding permits were in the highest level in four and a half years in February. It is suggested that recent gains in home construction are going to continue. In January home sales jumped 16 percent and auto sales rose in January to February after a five year high in 2012. The Federal Reserve is keeping interest rates low which helps housing and auto sectors. In a news conference, Chairman Ben Bernanke said that the job market has accelerated but the Fed wants to see persistent improvement before changing its stimulus policies.

Author Christopher S. Rugaber of Time uses this article to inform on unemployment in the United States. Quite a few people would be interested in this as it addresses a worrying issue that many face. There are many statistics given to show increases and decreases in unemployment. Rugaber’s article ends on a pretty optimistic note that unemployment is slowly lessening. His article is both informing as well as a bit uplifting.

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