US unemployment rate approaches 20%, economists say
Source: Salon.com
US unemployment rate approaches 20%, economists say
Last week's 4.4 million new unemployment claims don't account for the backlog that has yet to be processed
NICOLE KARLIS
APRIL 23, 2020 11:00PM (UTC)
On Thursday, the Department of Labor released data showing that 4.4 million Americans filed for unemployment insurance last week. This brings the number of initial jobless claims to a total of over 26 million since the coronavirus pandemic brought the U.S. economy to a standstill five weeks ago.
For context, this means all job gains since the Great Recession have disappeared. At this rate, 2020 is predicted to exceed historically horrific full-year unemployment totals. That includes 1982, when unemployment reached 30.4 million, and 2009, when it reached 29.8 million.
"Today's report shows the labor market is almost certainly pushing into new territory, jolting the unemployment rate up above the Great Recession's 10% peak and wiping out more jobs than we've gained in the recovery," Daniel Zhao, senior economist at Glassdoor, an online job search firm, told Reuters.
Read more: https://www.salon.com/2020/04/23/us-unemployment-rate-approaches-20-economists-say/
So much winning...
JDC
(10,081 posts)bucolic_frolic
(42,674 posts)Timed perfectly
gab13by13
(20,864 posts)the markets and oil are up today. Corporations get rewarded for bad behavior, for incompetence. I mean we(taxpayers borrowed money) the Fed, central banks simply give them trillions of dollars. Everyone benefits except the unwashed.
It may be different this time when millions of mom and pop small businesses go bankrupt.
gibraltar72
(7,486 posts)mopinko
(69,806 posts)i mean, it's obviously not good, but most of the stuff that people actually need is still happening.
i thought it would be a whole lot worse.
gab13by13
(20,864 posts)that if we don't spend 1 trillion dollars on mom and pop shops, 10 million small businesses will go bankrupt by Labor day.
Many of these small businesses operate with small profit margins, they can't afford to reduce their capacity, to take tables out of their restaurants.
mopinko
(69,806 posts)esp on small businesses.
i'm just saying more workers are hanging on to their jobs than i expected.
yaesu
(8,020 posts)week to keep up with demand.
mopinko
(69,806 posts)i think there might be some truth in the pent up demand theory. when folks work a lot of ot, they tend to not have time to spend much.
yaesu
(8,020 posts)businesses at rock bottom prices. Its that cycle on steroids. The haves will make out like bandits.
yaesu
(8,020 posts)Wellstone ruled
(34,661 posts)Watch the Airlines. New Flight Schedules go into effect on that day with only 40% of today's numbers still allowed to fly.
bucolic_frolic
(42,674 posts)97% of the company went to creditors. Existing shareholders got 3% of the company. It is very common in bankruptcy for existing shareholders to get .... nothing! I recall them at $40 a few years back, and am I surprised to punch in the chart and find it traded above $350 in 2014.
https://www.finviz.com/quote.ashx?t=WLL&ty=c&ta=0&p=m
Many companies could choose this route, not just oil companies. Once they see a way out of debt it could be very common. Companies with no ability to pay their bills, no prime physical assets would be great candidates.