The economy: Worse than we think?
So said Mort Zuckerman yesterday, writing for the Wall Street Journal:
Job losses may last well into 2010 to hit an unemployment peak close to 11%. That unemployment rate may be sustained for an extended period.Just more evidence of the stimulus' inability to improve economic conditions. Not that anyone should be surprised.
Can we find comfort in the fact that employment has long been considered a lagging indicator? It is conventionally seen as having limited predictive power since employment reflects decisions taken earlier in the business cycle. But today is different. Unemployment has doubled to 9.5% from 4.8% in only 16 months, a rate so fast it may influence future economic behavior and outlook.
