It’s hard to feel that the economy is getting better if you don’t have a job. But lately we’ve seen several positive reports suggesting that the worst of the recession may have passed us by. The economy, analysts say, is no longer in freefall.
But that doesn’t matter if you’ve lost your job and can’t pay your home mortgage, does it?
Gail MarksJarvis, a financial writer for the Chicago Tribune, does a good job summarizing why unemployment might slow the nation’s economic recovery significantly. You can read the story here.
MarksJarvis interviews financial experts who worry that the unemployment rate in the United States might hit 10 percent or higher and then stay there. If that happens, it can have a devastating impact on the rest of the economy. Think about it: With more people out of work, there’ll be fewer buying nonessential items at local stores. Fewer people will move into new homes. It’s all related.
So enjoy the good economic news reports. We certainly can use some good news these days. But remember, until unemployment goes down, we won’t see an economic recovery that truly feels like a recovery.