The Unemployment Rate Of The United States Essay

The unemployment rate has dramatically increased over the last several months. This increase has created many complications for the American people. Although the United States economy has created over 7 million jobs, there is still a long way to go until the economy is back on track.

The largest cause of unemployment can be attributed to recession. The term recession refers to the backward movement of the economy for a long period. People spend only when they have to. (Nagle 2009). With people spending less there would be less money in circulation therefore, enterprises would suffer financially and people would suffer too. This is so because recession reduces the fiscal bases of enterprises, forcing these enterprises to reduce their workforce through layoffs. These enterprises lay off their workers in order to cut the costs they incur in terms of wage and salary payments.

One of the many problems that people in the United States face today is the problem of unemployment. Unfortunately, many Americans who are in desperate need of steady income just cannot find a reliable source of employment. In the United States, the rate of unemployment is currently 4.8 percent. Furthermore, in the state of Alabama, the unemployment rate in 5.9 percent. By looking at those statistics, it is easy to see that there definitely could be a direct correlation between high unemployment rates and rural areas.

As of February of 2016, “the unemployment rate in America was recorded at 4.9 percent, unchanged from the January rate and remaining at its lowest

The Employment Situation report for September was, as expected, influenced by the intense hurricane activity witnessed last month. Headline non-farm payrolls declined -33K in September after increases of +169K and +138K in August and July, respectively. Unsurprisingly, the bulk of the weakness was in hospitality & leisure employment, which declined -111K. Meanwhile, the hurricane activity did not appear to have a large and discernible impact on the household survey, from which the unemployment rate is calculated. The civilian measure dropped to 4.2% from 4.4% in August, largely due to a sharp rise in employment versus a decline in the participation rate. Furthermore, the

Unemployment historically has been a problem in the southern states of the U.S. after the Civil War. The Carolina’s were hit especially

The employment rates peaked in 2007 for both urban and rural areas in Tennessee. The employment rates sharply declined in both areas from 2007 to 2009, displaying the effects from the recession. The highlighted area

Unemployment rates differ widely across U.S. metropolitan areas. In 2007, they ranged from 3.1 percent or less among the 25 lowest unemployment metropolitan areas to 6.6 percent or more among the 25 highest unemployment metropolitan areas. Such large differences in metro unemployment rates have held continuously since at least 1990. Moreover, those metro areas that had a relatively high unemployment rate in one year tended to have a high unemployment rate 10 years and even 20 years later.

The United States is currently experiencing a slow recovery from the recession of 2008-09. The current unemployment rate is 7.7%, which is the lowest level since December of 2008 (BLS, 2012). However, this rate is believed to higher than the rate that would occur if the economy was operating at peak efficiency, and it is also believed that there are structural issues still underpinning this performance. For example, the number of Americans who have exited the work force as the result of prolonged unemployment is believed to be higher than usual. In addition, the Congressional Budget Office (CBO, 2012) notes that long-term unemployment of greater than 26 weeks is at a much higher rate than normal, which will have adverse long-run effects on the economy, since workers with long-term unemployment often find their career paths derailed.

Except for the hurricane disruption, hiring has been steady this year and the unemployment rate declined to 4.1 percent in October. The lowest

The underlying tone of July’s Employment Situation report released by the BLS erred to the stronger side of expectations. Meanwhile, the FOMC would have taken note that non-farm payrolls are still increasing in excess of the growth in the labour force, thereby placing downward pressure on the unemployment rate. During early-2016, there was a period of labour force growth that was sufficiently robust to prevent further declines in the unemployment rate. This dynamic consequently dissuaded the FOMC from

The rising unemployment has generated challenges in low income communities. Unemployment involves a situation where people in a particular community are actively seeking employment but the employment rates are low. The increased rates of unemployment are contributed to by factors such as recession periods that adversely affects the economy. Impacts on the economy in turn affect the labor force leading to loss of employment and reducing the rates of employment opportunities in the country. The United States has experienced cases of recession periods and has caused significant negative impacts on the communities and economic growth of the country. The prevalence of high unemployment rates in low income communities in the U.S

Unemployment rates have been on a downward decline since March 2010. Frank (2014) noted that from July 2014 to August 2014, unemployment rates have dropped 0.1%. Focusing on the last year, the unemployment rate has dropped from 7.5% to the current 5.8%. Indiana’s decrease of 1.7% is one of the largest declines of unemployment rating in the United States in the last year. This decline can be contributed to an increase in Indiana’s employment. Since September 2013, Indiana has added 51,000 employees to the workforce. Scott B. Sanders, Commissioner of the Indiana Department of Workforce Development, stated, "Indiana 's unemployment rate has decreased 1.7 percent over the past year, while the labor force has expanded by more than 51,000 workers, which is quite remarkable. During the same period, the Hoosier State

The proportion of all 25-54 year olds who hold jobs (i.e., “prime age employment”) was nearly five percent lower in November 2013, that is, six years after the start of Great Recession, than it was in December 2007, both for men and women equivalent. The ratio for men, currently at 82.7, is the 10th worst ratio over the last thirteen years. The ratio for women is currently at 69.2, is the twelfth worst ratio over the last thirteen years. The long-term joblessness ratio for men and women equally is near the all-time extraordinary for the period since 2000. Even though the Great Recession ended

Unemployment rate also varies by state with different states having different employment levels (In Your State, 2013). For example the state with the highest teenage unemployment rate is currently the state of Georgia (In Your State, 2013). On the other hand the state with the lowest teenage unemployment level is currently the state of North Dakota (In Your