Orange County – There was absolutely nothing left to do, 39 year-old Mr. Berger, an office clerk, decided to sell his latest model of LED television he just purchased the other year to a well-off friend, the economic crisis steeply increasing his weekly budget deficit. “I believe its the high spending we do everyday amid threats from financial meltdown that’s taking its toll on us lately,” Mr. Berger said. It is no small irony that while unemployment rate has blown only 9. 5% of the population today against the 10% in the first quarter this year, the figure could not justify how some of the residents continue to lose their jobs.
What may add insult to injury is the sharp decrease in prices of U. S. Imports from 0. 5 last month to 1. 3 today, outweighing the July 2009 1. 3% decline (Bureau of Labor Statistics). Mr. Berger is just part of the growing fraction of the figure promising to outnumber those working in a cozy office. Poking his way through a small, rough tenement just a few blocks from his house, he was looking for a viable job that could stand the present economic turmoil. The number of jobless persons for over 27 weeks remained at 6. 8 million, which covers 45. % of the total unemployed citizens all over the country while those who are working part-time involuntarily either because they could not find full-time employment or their working hours were reduced compose another 8. 6 million (Bureau of Labor Statistics). Taking advantage “I speculate some self-centered politicians are now using the economic crisis as their political tack to keep hold on power. The idea is simply that no single group is better equipped to release the plagues from Pandora’s box and choke the very things it spawned than the most desperate gang in town.
This time making itself the champion of economic crisis,” lamented Mr. Anderson. Mr. Anderson, 40, was forced to move his family to Mississippi and currently lives here on yet another mortgaged property, something he might lose again should the cutbacks realign sharply upward. It has a leaky roof, a clear sign the family is going through tough times. “I have no choice but to relocate again,” he said. ‘History repeats itself’ The economy of the United States of America holds the highest rank in the world, its GDP being estimated to rich a nominal value of $14. 2 trillion last year.
The US labor market has been attracting immigrants abroad and holds the largest number of migration rates streaming in. It has nested the biggest stock exchanges, thereby becoming one of the world’s most influential financial markets. But these facts did not prevent the history of the 1930s, the Great Depression, from repeating itself, this time with an equally forceful blow to different sectors. Fearing to see another Great Depression whipping the country, when the fangs of recession appeared to be a serious threat, the government sought many answers to solve economic problems.
It took on a course of allowing consumers to spend more by exerting heavily itself or cutting taxes. It fostered rapid growth in the money supply, which also encouraged more spending. It can be recalled that economic woes brought on by the costs of the Vietnam conflict, major price increases, particularly for energy, created a strong fear of inflation. As a result, government put more concentration on controlling inflation than on combating recession by limiting spending and tightening credit.
Economic crisis quickly creeps through different places, wherever financial stability gives its way, affecting a not so small portion of the population. The recession in the last two years might have been the worst since the Great Depression but there are no labor forecasts that have to do with the same fate employment suffered during those times. “It’s a pain that we had to cut on our weekly budget and sacrifice our luxuries to prioritize our foremost needs. And we’re not alone on this, almost everyone in the neighborhood is feeling the effects of the crisis striking them,” Mrs.
Cowell said. Mother to four, Mrs. Cowell, 41, had to stop sending Makky, her eldest, to school to give way to the others still studying in high school, an alarming scenario which led to an entirely different behavior acted by his eldest. This is just one of the fall-outs experienced by the family. Economists say the economy might start to flourish by third quarter of the year. However, quick make up of the employment rate may take place later by end of year, the setbacks having been too rough of late.
Brian Fabbri, chief North American economist for BNP Paribas, said the efforts of the Obama administration to flood the economy with $800 billion and the buying up of credits along with shoring up of banks by the Federal Reserve may put an end to this. ‘I believe the government can’ “I suspect Obama and some allies in Congress can prove themselves to be the powerhouse of stability in one of America’s most trying times, thus, preventing the country from sinking into the utter pits of despair. I hope he will do, having the public behind him,” Mr. Gardner, 42, said optimistically. “I would love to see nothing else but a government eager to pluck us out of the groveling depths of global financial meltdown,” he added.
Mr. Gardner recalled how he has constantly been a victim of economic failure. He and his soft-spoken wife, Kelly, lived in Ireland for more than a decade only to witness the dwindling economy which forced everybody to go out and look for a greener pasture. “We felt like nothing awaits us in there, no other choice but to leave Ireland,” he exclaimed. If only the government would take radical reforms and slash in its superfluous spending, perhaps in less than a year the economy would begin to grow again steadily. But if this would remain unmitigated for the next months, it probably may not just end up in burying this country to the pits of despair, it may also lead to bitter strife between the government and the labor force ,” Mr. Gardner foretold. Still upbeat “With the rate of pace our government is taking on, I guess we can all do pitching in behind someone fired up by the passion of saving his country by restoring economic stability,” Mrs. Dolloy showed optimism.
Though affected by the uneasiness associated with realigning home budgets and luxuries, Mrs. Dolloy continues to hold to what she has been hoping as a ‘savior snail’ that would come someday in the form of stable economy, massive opening of full time jobs, and fairly low commodity prices. Today President Obama boasts that his country shows signs of getting back to its feet in just one year time after a major setback in the last two years.