Post Recession Unemployment Worst Since World War II, Fed Chair Bernanke Says it will take 5 Years before We are Back to Normal Unemployment Rate
More Obama economic ”Hope & Change” … So America, what do you want first, the bad news or the real bad news first? Welcome toHooverville, Obamaville.
The US unemployment rate is at 9.8%, this is the worst post recession unemployment since WWII. How could the Obama Administrastion so dropped the ball of the US economy and jobs? Obama’s $787 billion stimulus has been a failure and the Obama, Pelosi, Reid agenda has hardly been one of focusing on jobs. Imagine if Democrats had spent the time and energy on jobs as they did Obamacare? During last years State of the Union, Obama said that he would make jobs his number one priority. Really?
As US unemployment jumped to 9.8 per cent, it is a chart to chill the bones of any job hunter.
Comparing previous recoveries from all 10 American recessions since 1948 to the current financial crisis, the figures show almost no improvement in employment figures in the past year.
Some commentators have described the comparison as ‘the scariest jobs chart ever’, pointing to the fact that only the 2001 recession took longer to bring employment back to pre-crisis levels.
Last night during a ’60 Minutes’ (VIDEO)interview, Federal Reserve Chairman Ben Bernanke made some chilling and sobering comments regarding jobs and unemployment in America. Bernanke said that the rate we are going it could take “4 or 5 years before we are back to a more normal unemployment rate.” NO SIR, with Obama’s ridiculous economic plan, it would take 20 years to revover.
On the heels of a disappointing jobs report, the country’s top economist told 60 Minutes the outlook isn’t much brighter.
“At the rate we’re going, it could be four, five years before we are back to a more normal unemployment rate,” Federal Reserve Chairman Ben Bernanke told 60 Minutes in an interview that aired Sunday night.
More from 60 Minutes (transcript):
Chairman Ben Bernanke: The unemployment rate is just not going down. Unemployment is just about the same as it was in mid-2009, when the economy started growing. So, that’s a major concern. And it looks that at current rates, that it may take some years before the unemployment rate is back down to more normal levels.
Scott Pelley: We lost about eight million jobs from the peak. And I wonder how many years you think it will be before we get all those jobs back?
Bernanke: Well, you’re absolutely right. Between the peak and the end of last year, we lost eight and a half million jobs. We’ve only gotten about a million of them back so far. And that doesn’t even account the new people coming into the labor force. At the rate we’re going, it could be four, five years before we are back to a more normal unemployment rate. Somewhere in the vicinity of say five or six percent.
Four or five years. And Bernanke told “60 Minutes” something else that makes that even more painful.
Oh, this is reassuring. The reason why there will not be a double dip recession is because “cyclical parts of the economy, like housing, for example, are already very weak. And they can’t get much weaker”. Good grief, that’s the reason. Try taking away the home owners tax exemption and we will see just how much weaker the economy gets.
Pelley: How would you rate the likelihood of dipping into recession again?
Bernanke: It doesn’t seem likely that we’ll have a double dip recession. And that’s because, among other things, some of the most cyclical parts of the economy, like housing, for example, are already very weak. And they can’t get much weaker. And so another decline is relatively unlikely. Now, that being said, I think a very high unemployment rate for a protracted period of time, which makes consumers, households less confident, more worried about the future, I think that’s the primary source of risk that we might have another slowdown in the economy.