Helge: I've seen estimates that the unemployment rate could climb over ten per cent, a double of the present situation
NYT: President-elect Barack Obama, speaking at his first news conference since winning Tuesday’s election, sounded resigned to inheriting a starkly troubled economy when he moves into the White House next year. “It’s not going to be quick, and it’s not going to be easy to dig ourselves out of the hole that we’re in,” Mr. Obama said, calling for swift passage of spending measures aimed at stimulating the economy, including another extension of unemployment benefits.
Helge: There is no quick fix! I agree.
NYT: But while experts said this could soften the damage, it was unlikely to change the fundamentals. They said the economy would probably lose several hundred thousand jobs a month well into next year, taking the unemployment rate to near 8 percent — a level last seen a quarter-century ago. “The economy is slipping deeper into a recessionary sinkhole that is getting broader,” said Stuart G. Hoffman, chief economist at PNC Financial Services Group in Pittsburgh. “The layoffs are getting larger, and coming faster.”
Helge: 25 years ago unemployment rates came to over 8 per cent.
The health care industry, mining and public schools were the only sectors that showed more than modest growth last month. Otherwise, losses were deep and broad. Manufacturing jobs shrank by 90,000, construction by 49,000, retail by 38,000 and the financial industry by 24,000.
Helge: I understand the importance of wellness and healthcare as a job provider in the future. The same applies to our country.
Helge: What will be the survival model if money isn't available for businesses to invest and grow? Are we going to see very new business models with growth potential without big investments? Is new kinds of service and wellness industries emergin and rising?
NYT: The number of unemployed Americans leapt in October to 10.1 million — the largest number since 1983.