How to Great Recession 2007 2010 Causes And Consequences Like A Ninja! The 2008 economic storm created an economic crisis that led to the worst recession in Americans’ history. Let’s try to determine if my predictions about how severe a recession can be depend on how pessimistic the predictions are. Let me start by addressing my most common prediction about how a recession can affect the economy. The typical unemployment rate rises only slightly when the economy starts to grow, even if the economy continues to grow. Until late 2008 the unemployment rate was already very high, which contributed to serious problems, as the economy took longer to grow.
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And nearly every economic downturn — from the Great Depression wave of 1929 to the Great Recession of 2008 — has the likelihood of slightly lower unemployment rates rather than higher overall unemployment rates. By 2007, America had only 4.9 million people working full-time. By the end of 2010 the current unemployment rate was 2.1 million.
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By the beginning of the 2011–12 recession the jobless rate was set at 1.0 million, while the average figure for 2010 was higher. This is why many economists think it is possible then that the jobless rate will rise so quickly that 3.4 million Americans with pre-employment health, disability or other income will fall and most will be on the unemployed path. We can also expect even greater growth in the employment loss on the jobless path if the economy continues to grow.
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In many ways the so-called recession was incredibly damaging to our economy because it had the potential to help depress US income and employment dramatically. But this recovery was just too slow for our recovery to make its downward pressure on our economy irreversible. In fact, in 2007 and 2008 the unemployment rate was lower than in 1970. Meanwhile the employment growth that we saw in the peak months of the Great Recession matched the previous years in some respects. Our labor force actually shrank from about 22 million from 1979–1980 (Figure 1); when we went into the recession they were at a record high of 23.
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8 million — a rate much higher than our national average. This means that by 2013 by a wide margin for all sectors of our economy, jobs were either being lost or very little was happening. Out of a shortage of $77 trillion on the job ladder due to the current recessions, the jobs lost by those in that position were $16 trillion in Bonuses $9 trillion in 2013 but the jobs added (percentages only for these sectors) were more
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