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215K. Little or a lot?

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questionmark December 4, 2013 (Chinavestor) November non-far payroll numbers came out to better than expected 215,000. This is a good news. Taking a step back and looking the overall jobs market reveals a different picture though. The US economy lost 8.67 million jobs in the 2008-2010 recession and so far has added back 6.81 million since the summer of 2010. Considering that there is another 903 thousand jobs gained in the three months spanning from February to April, 2010, we are still short by 1.84 million. Assuming a healthy 200K news jobs a month, it will take another year of constant growth to get back to square one. Considering that total workforce has been increasing, unemployment will remain high for the next few years even if we produce jobs at a 200k clip.

 

 

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