Unemployment in America Research Paper Example | Topics and Well Written Essays - 2000 words

Unemployment in America - Research Paper ExampleUnemployment in AmericaThe analysis then is extended to examine a variety of macroeconomic concerns that have been argued to contribute to unemployment. In these regards, the research argues that Federal spending and the change magnitude National Debt are major areas of concern regarding investment that could contribute to improved unemployment. It then demonstrates that the very nature of the American political and economic sectors contain operative structural elements that are contributing to the countrys high and climb unemployment rate. Background After the nifty Depression, the united States experienced unprecedented economic produce and progress almost until the end of the XX century. During the early years of the XXI century, this growth continued in sometimes staggering proportions with house prices steadily rising and Americans enjoying sizeable employment success. In 2008, this stopped. With the sub-prime mortgage crisis leading the charge, America and, eventual(prenominal)ly, the world economy experienced perhaps the greatest economic collapse since the Great Depression. American unemployment rose to staggering rates, leaving citizens and politicians equally perplexed about the future. Even as some progress has been made in staving off the tide of unemployment, including lacklustre reform policies, in great part the American economy is still experiencing a large number of problems, most prominently in terms of employment. iodine of the overarching considerations in regards to unemployment in America is the unemployment rate. The unemployment rate, as the name indicates, is a statistical measure established by the United States government it indicates the amount of Americans that are presently unemployed. The American unemployment rate over the last ex demonstrates a number of trends, some of them highly problematic. Unemployment Rate 2002-2007 While the unemployment rate was at a slenderly hig h but manageable 5% at the beginning of the ten-year period, it lowered significantly through 2007 (Hupp 12). While the exact causes of this lowered rate are compound and multi-varied, a reasonable assumption can be made that the infusion of capital into the American economy coupled with technological innovation that placed the United States at the forefront of development greatly contributed to these shifting trends. Still, perhaps more problematic is the recognition that this declining unemployment rate nearly reaching 4% in 2007 is greatly contrasted with the startling spike caused by the 2008 recession (Hupp 12). Unemployment 2007-2009 The spike in the unemployment rate during 2007-2009 demands specific consideration be given to the juxtaposition of these rates and the potential causes of the Great Recession. This research argues that the declining unemployment rate between 2003 and 2007 is at least partly attributable to a bubble economy that was brought on by inflated home prices. The eventual mortgage crisis that would lead to the recessionary period and spike in unemployment was at least partially caused by a correction in the true measure out and production of the American economy. The Economist points out that even when the economy begins to recover certain job sectors may never see pre-recession employment figures. It argues that The past decades jobs in retail and in entertainment were largely supported by household adoption. Not only is a new wave of borrowing unlikely to develop after the