The U.S unemployment rate was stood at 8.5 percent and increasing, by the end of March 2009. Americans had lost their jobs, more than 13 million workers were unemployed (Longley, 2017). The factors of domestic, foreign, market and government are impacted the unemployment in the United States (Wikipedia, 2017). Now, the situations have changed the U.S. unemployment rate dropped to 4.1 percent in November 2017. This is the lowest jobless rate since February of 2001. The employment population ratio rises by 0.3 to 60.4 percentage in September, employment continued to boom up in different sectors like business, manufacturing and health care (Ferreira, 2017).
In December 2017, the unemployment rate stood at 4.1 percent, which is below the 4.5 and 5.0 percent natural rate of unemployment. The jobless status until they get a new job is the natural rate of unemployment. If unemployment is less than the natural rate it will be difficult for businesses to find the workers to run their operations (Amadeo, 2017). In December 2017, there were 1.515 million long-term unemployed individuals. Long-term unemployment is when workers are jobless for 27 weeks or more. It tells they were 23 percent of the unemployed looking to find a job for six months or more (Amadeo, 2018).
There are people who want to work and are available for work, however, they are dropped out of the labour force because there aren’t any jobs for them. These types of workers can be called as discouraged workers. The statistics show there are 474,000 in Dec 2017 that is less than the 524,000 in October. These are the workers who give up trying for jobs, however, would take if they offered any jobs. These workers are also included in the unemployment rate (Amadeo, 2018).
Below are the U.S. unemployment rate statistics which are
illustrated in Line graph for every month since 2014 to 2017 to make it clear
picture.Keep in mind that, the Unemployment rate is the lagging indicator. Lagging indicators are the statistics that follow the economic event, which included stock prices, manufacturer’s orders for durable goods and interest rates. You use them to confirm what happened in the recently in the economy because employers hold out hiring new workers until they are absolutely sure that the economy will get stronger. And these statistics are good for confirming not for predicting the economic trends (Amadeo, 2018).
1. Amadeo, K. (2017) Current U.S. Unemployment Rate Statistics and News
https://www.thebalance.com/current-u-s-unemployment-rate-statistics-and-news-3305733 (Accessed: 25 Dec 2017)
2. Amadeo, K. (2017) Natural Rate of Unemployment: Definition and Trends
https://www.thebalance.com/natural-rate-of-unemployment-definition-and-trends-3305950 (Accessed: 25 Dec 2017)
3. Amadeo, K. (2018) Long-term Unemployment: What It Is, Causes and Effects Available at:
https://www.thebalance.com/long-term-unemployment-what-it-is-causes-and-effects-3305518 (Accessed: 08 Jan 2018)
4. Amadeo, K. (2018) Why 474,000 Workers Are Discouraged
https://www.thebalance.com/discouraged-workers-definition-causes-and-effects-3305514 (Accessed: 08 Jan 2018)
5. Amadeo, K. (2018) What Lagging Economic Indicators Tell You
https://www.thebalance.com/lagging-economic-indicators-list-index-and-top-3-3305860 (Accessed: 08 Jan 2018)
6. Ferreira, J. (2017) US Unemployment Rate Lowest in Over 16 years
https://tradingeconomics.com/united-states/unemployment-rate (Accessed: 25 Dec 2017)
7. Longley, R. (2017) All About Unemployment Benefits
https://www.thoughtco.com/about-unemployment-benefits-3321422 (Accessed: 25 Dec 2017)
8. Wikipedia (2017) Causes of unemployment in the United States
https://en.wikipedia.org/wiki/Causes_of_unemployment_in_the_United_States (Accessed: 25 Dec 2017)