Saturday, March 23, 2013

The New Normal?

What we may be experiencing worldwide now might be a new normal. What I mean by this is that possibly there are just too many people with energy prices just too high to go back to 4 to 6 percent unemployment here in the U.S. let alone other places around the world. If you do the research regarding what happened here in the U.S. since World War II, in the 1950s low unemployment was 2 to 3%. But as you move into the 1970s low unemployement began to mean 3 to 4 percent. And by 1980s it was 5% to 6 percent was relatively normal. It is now possible that we may have to live with 7% as an average in this world economy almost no matter what we do here in the U.S. If this is true then a more robust social welfare system must eventually be put into place in order to reduce crime. Because of people can't get jobs they have to find some way to survive.

No comments: