Thursday, October 08, 2009

Jobless Claims Fall

The charts (posted by Dr. Mark J. Perry) show that the current recovery pace from recession is "normal". As during every recession, some jobs are lost temporarily and others are gone forever. As in every recovery, it takes time for the rapid growth in "the new" to result in large numbers of new jobs.

However, those who are working (91% of all who desire to work) have the opportunity to buy assets at deeply discounted prices. Big money is being made in stocks and residential real estate and bargains galore are available in commercial real estate. Extended unemployment insurance is helping others stay out of the poor house. Many families with one working and one unemployed are getting by better because of the decline in prices in many goods. Being out of a job is no fun, but the focus on this lagging indicator causes consumers to be pessimistic when good times are being enjoyed by the majority! I dare say that more than 50% of the workforce will make more this year than they did last year or the year before!
in reference to: CARPE DIEM: Jobless Claims (4Wk. Avg.) Fall to Lowest Level in 37 Weeks, Down 119,000 (-18%) From April Peak (view on Google Sidewiki)

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