US Jobs Report Lifts Global Gloom

The latest US Jobs report diffuses concerns about America heading back in a recession. 

Article written by guest writer Rin Mitchell


What’s the Latest Development?

The number of jobs the United States added in July gives a glimmer of hope that the U.S. economy is making a recovery. The 163,000 new jobs exceeds the expectations for many, as they were lowered when a previously released report under-delivered what many were expecting. In fact, it led many to believe America was on its way to join Europe in the recession. This new addition of jobs is good news, and economists believe the U.S. economy will pick up even more in the second half of the year. “While July’s job growth was not enough to bring the unemployment rate down – the rate actually ticked up from 8.2 percent in June to 8.3 percent – in the context of a global slowdown in economic activity, it was cheering.”

What’s the Big Idea?

A better-than-expected influx of jobs indicates that the U.S. will not be joining Europe in its recession. Previous economic data ignited concerns that the United States economy was slipping back into a recession. According to a poll the Washington Post had conducted, 79 percent of the participants believed the U.S. was still in a recession. The U.S. has been experiencing an economic slowdown during its recovery mode, and some expect a further slowdown. The 163,000 jobs are evidence that the economy is improving, yet “America’s plodding recovery will continue to poke along.” 

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