Why unemployment rate in America should not be so low?
Posted: Thu Feb 15, 2018 10:58 am
- The decline of labor participation rate is downplayed, when in fact it may be the biggest contributor in such a low unemployment rate as unemployment measures total unemployed workers as a percentage of the civilian labor force. Ten years after the Great Recession, civilian labor force participation rate is still in decline and millions of prime-age males, are still not in the labor force.
- Wages aren't going up
Typical take home pay is about the same today as it was 20 years ago, adjusted for inflation. By working all these years, middle class families aren't really getting ahead. They're just getting by. Contrary to America are countries like Italy and Spain, with extremely high unemployment rate for many years, the life expectancy is still around 84 years, way higher than Americans. If working is not giving you a longer or a better life, why are we working?
- Between regular living expenses and high health care costs, the poor just have to work to survive. In reality, a large and growing share of the nation’s poor work full time — sometimes sixty or more hours a week – yet still can’t earn enough to lift their families out of poverty.
It puts economic power into the hands of a very small number of people who have never worked, but whose investment decisions will have the biggest effect on the country.
Consider the rise of both the working poor and the non-working rich.In spite of an unemployment rate that looks great on paper, the American economy is diseased. It’s rotting from within as companies just do anything and everything to reduce costs to increase profits.
The unemployment rate might keep dropping, there may soon not be any livable jobs left.
Worried about the American dreams? Don’t. The rich controlled media will motivate the mass by giving them some grand illusion of being independent entrepreneurs once going to university will only bring you student debt instead of a great future. There will always be a few self-made success stories to throw thousands of young people at random things, give them some pocket money and hope something sticks.