Thinking About Job Growth and the US Economy
The latest blog post on the AFL-CIO site talks about the growth in job numbers:
For the latest three-month period the US economy created around 209,000 jobs per month, and the post digs into the numbers behind the unemployment rate, the potential for a Fed rate hike, and economic uncertainty all-around. Within the American economy currently fewer people are employed now than were employed at the peak of 2007, and that number was below the peak of 1999. The article points out that household incomes have not caught up, and have essentially stagnated for the American worker.
Next,.the article points out the weakness in the US auto industry from the angles of manufacturing and automobile financing. If the market for new cars goes into a sort of recession of its own, then, owing to the size an importance of this industry in this country, “the auto industry will be in recession; which means the economy will be in recession”.
In addition, the article goes on to talk about the new Presidential directives on immigration and how to change policy on it, which itself creates vast uncertainty for the economy and labor markets. Proposed Federal budget cuts to environmental programs, housing and education will affect jobs across the board, and compound the uncertainty described above.
A Fed rate hike, in this climate, would have great potential to harm an economy that does not need “slowing” – in fact, we are still in need of strengthening.This is not an issue we can write to our congress people about- the Fed is a (semi) independent body, and not beholden to Congress. We suggest that our readers take in this article. There are things we can control, and things we cannot. We will continue to stick to our strengths of advocating for the American and Detroit worker- our mission of contributing to the greater Detroit community of workers will continue, and we hope you join with us in any way you can. Thank you again!