can someone plz read the article and 3 paragraphs and tell me if i got it right!
http://www.nytimes.com/2008/08/02/business/02econ.html?_r=1&oref=slogin
The article I read was about how the unemployment rate in July had spiked to 5.7% the. With 51,000 people losing their jobs last month unemployment is the highest it’s been in four years. The articles mainly focused on how the unemployment is affecting the economy and how people are starting to struggle to meet their basic needs. For people who still have their jobs the biggest problem is reduced hours. With gas and food prices rising its making it harder for the average American to live. In the month of July weekly raises rose only 2.8% which was below the inflation rate of 4%. The only fields to see an increase in employment were healthcare, oil production, and computer design.
The issue of unemployment is a part of the system of macroeconomics. Macroeconomics is a branch of Economics that deals with it on a bigger scale like, the national economy. Gross domestic product, unemployment, inflation are all major parts of Macroeconomics. Unemployment is a big deal because, when people aren’t making enough money that obviously means they won’t be spending as much. This creates a domino effect in the economy. Since people aren’t spending their money on movies, eating out, shopping and other typical pastimes this means that the people in those areas are suffering and, may begin to lose their jobs. Teenagers are some of the groups being hit the hardest because, this is where they are usually employed. All of this can affect Americas GDP. Gross domestic product (GDP) is the total value of goods and services that are produced in an economy. If people aren’t making a great amount of money that means they wont be using a lot extra goods and services outside of their basic needs. This could cause a drop in Americas GDP.
The reason I chose this article is because as an unemployed teenager it related to me in a real life way that I don’t usually find in the business section. This past summer I was on a constant job hunt and no matter how many applications I filled out I just couldn’t seem to find a job. When I was looking through the chapter to see what topics I could write my current even about this really caught my eye. I knew that America had financial problems and I kept hearing the word recession tossed around quite a bit in the media but I never knew how that could relate to me. Writing this article really helped me to look into the “financial crisis†that is happening. If not for this assignment I probably wouldn’t have looked into it as thoroughly as I did.
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