US Unemployment Hits 18 Year Low

Federal economists recently reported that job growth in January 2018 reached upwards of 200,000 jobs. The United States economy continues to make gains while the overall unemployment rate hovered around 4 percent for the year. Prior to these results professional economists expected somewhere in the realm of 180k jobs in January.

The United States has not seen unemployment levels this low since the very end of Bill Clinton’s presidential term in late 2000. The highest levels of unemployment we have seen hit roughly 11 percent in the dark months of 2009. Many in the political and economic sectors are worried less about employment than wages and underemployment. Many Americans can find jobs- but well paying jobs are still in short supply.

Professional economists and analysts have warned the public at large against judging the economy as a whole by this one number- many have argued that long term unemployment numbers are a much better way of analyzing how strong or weak an economy is. That does not stop politicians from using these numbers to attack their enemies or make themselves look better.

Current US President Donald Trump has boasted about his part in the job growth seen during the first year of his presidency. However, the numbers during his presidency are remarkably similar to those of the last years of the Barack Obama Presidency. This has led many to believe that he is simply continuing down the impressive path that President Obama set the country on. In 2016 the entire country added 2.2 million new jobs while 2017 saw 2.0 million.

With Government Shutdown Looming The World Markets Tremble

It is always a shock to the political and economic systems of the world when the United States government effectively shuts down. This has happened a number of times in the past when Republicans and Democrats could not get together to hash out a spending deal that both sides could agree on. Now, it looks like this very well may happen again.

Top Congressional Democrats Nancy Pelosi and Chuck Schumer have cancelled a scheduled meeting with the President reports CNBC. This coming after the President tweeted that he could not envision any kind of deal being struck between himself and the Democrats to avert a government shutdown.

The Democratic leaders who had the meeting scheduled with the President pounced on his words saying that they would just as soon meet with Republicans in Congress to work on a deal with them since the President so obviously did not see a way forward himself. They cancelled the meeting and presumably will try to meet with other Republicans in Congress instead.

The Federal Government is slated to run out of funds on December 8th. If the two sides cannot come together and get something passed, then the government will begin to shut down. In the past, the two sides have come together to pass what is known as a continuing resolution (or CI) to essentially punt the decision away to a later date. That could be something that comes up in discussion quite frequently in the coming weeks as the two parties try to figure out some plan that will work.