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Job Losses Slow, Signaling a Shift in Economy
- giardini 17y agoIs this what passes for "good news" these days? Job losses continue although at a declining rate. The change is from 9.4% to 9.5%, hardly significant - see the following article which says as much: http://www.economist.com/blogs/freeexchange/2009/08/why_did_unemployment_fall.cfm http://www.economist.com/blogs/freeexchange/2009/08/why_did_... This guy also thinks it isn't even good news yet: http://krugman.blogs.nytimes.com/2009/08/07/jobs-paradox/ http://krugman.blogs.nytimes.com/2009/08/07/jobs-paradox/
- dmlorenzetti 17y agoNot only does a decreased rate job losses fail to indicate things are getting better, it also fails to indicate a "shift in the economy" (as the headline claims). When a system changes from one steady state to another, as it approaches the new state it will tend to change less dramatically (e.g., a hot cup of coffee changes temperature more slowly as it approaches room temp). In other words, a slowing rate of job losses may simply mean that the economy is settling in to a new state determined by a shift that happened long ago.