US Labor Market to rebound on the back of stronger economy
Posted by Stephen Cline on February 4th, 2010The US Labor market is expected to rebound and show some spunk on reports that the economy as a whole is on recovery mode. There are strong indications that the economy may be showing some signs of a turnaround. While this is not yet fully confirmed, there are many who feel that the economy is still not out of the woods and the impact of the economy may be yet to impact the labor market rebound positively. There are some indications that the recovery could be happening in terms of the GDP increase as well as an increase in the length of the work week. These are said to be lead indicators that the labor market is at the tip of a rebound.
One of the big ticket items that the government had invested in was the bailout of a large number of banks that could have collapsed leading to a total decimation of the US financial system. The fall in the labor market numbers leading to double digit unemployment started due to irregularities in the US financial system where the banks had a free run, with scant regulation. Now that the banks can pay back, they would be needed to make good the loans under the bailout.
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