The 2008 subprime mortgage crisis has led to the global meltdown of the economy. People lose confidence in the growth of the economy and are spending less, firms everywhere have impended huge layoffs and there has been a sharp rise in unemployment over the years. One of the many ways to help bring the economy out of recession is to increase the employment rate. Recently i read an article, US new jobs figure beats expectations, “the US unemployment rate remained unchanged at 9.6% in October, but 151000 jobs were crafted”
Although the employment rate has not shown any significant change, the increase in the jobs available gives hope that employment will rise, stimulating economic growth. With more people getting jobs and earning an income, consumer spending will rise, leading to higher Aggregate Demand and growth rates. The government would also be able to cut back on unemployment benefits and focus on other sectors that could help boost the economy.
However, we should maintain a cautious view on the jobs available as not all the jobs are fit to the people’s skills and experience. Thus, I think that we should also focus on other effective strategies and ways that could improve the financial crisis.