News Trends Today

For the past few weeks, government officials seem to suggest that the economy is back on track. Some people point to the slight increase in homes sold and feels that the country is on the rebound. Another indicator that the US economy is improving is the stock market which seems to be edging higher every day.

Moreover, the U.S. Gross Domestic Product, a common gauge of the economy’s vigor, grew slightly during the third quarter. This was the biggest such growth see since august of 2007.

However, this has had no bearing on jobs created. The majority of surveys indicate that people are having a hard time finding a job. The unemployment rate is astounding. The national unemployment rate rose to 10.2 percent last month, something which last occurred 25 years ago.

In almost every state, echoes of unemployment vibrate. In 29 states the jobless rates have continued to increase, according to the labor department survey. Moreover, 13 states also report an unemployment rate about the current national average.

Economic advisors claim that the GDP growth has no bearing on the overall US economy. The economic package implemented by the federal government including the “Cash for clunkers” program for automobiles was narrowly focused and did nothing to stimulate jobs in other sectors of the economy.

Ben Bernanke, the Federal Reserve Chairman, sounding cautious, said “Some important headwinds — in particular, constrained bank lending and a weak job market — will likely prevent the expansion from being as robust as we would hope.”

However, many Americans remain dissatisfied with the government response and stimulus package.

Said Keating Holland of CNN, “Some economic indicators may suggest that the economy has turned the corner — but try telling that to the American people”

To sum up the situation, Ali Velchi CNNs chief business correspondent said, “You can live without a buying a house. You can live without a 401(k). You can’t live without an income.”

With that in mind, Bernanke sounded grave remarks to the Economic Club of New York last week.

“The best thing we can say about the labor market right now is that it may be getting worse more slowly,” he said. “Jobs are likely to remain scarce for some time.”