Posted on 09/13/2010 3:54:15 PM PDT by bruinbirdman
America and Europe face the worst jobs crisis since the 1930s and risk "an explosion of social unrest" unless they tread carefully, the International Monetary Fund has warned.
"The labour market is in dire straits. The Great Recession has left behind a waste land of unemployment," said Dominique Strauss-Kahn, the IMF's chief, at an Oslo jobs summit with the International Labour Federation (ILO).
He said a double-dip recession remains unlikely but stressed that the world has not yet escaped a deeper social crisis. He called it a grave error to think the West was safe again after teetering so close to the abyss last year. "We are not safe," he said.
A joint IMF-ILO report said 30m jobs had been lost since the crisis, three quarters in richer economies. Global unemployment has reached 210m. "The Great Recession has left gaping wounds. High and long-lasting unemployment represents a risk to the stability of existing democracies," it said.
The study cited evidence that victims of recession in their early twenties suffer lifetime damage and lose faith in public institutions. A new twist is an apparent decline in the "employment intensity of growth" as rebounding output requires fewer extra workers. As such, it may be hard to re-absorb those laid off even if recovery gathers pace. The world must create 45m jobs a year for the next decade just to tread water.
Olivier Blanchard, the IMF's chief economist, said the percentage of workers laid off for long stints has been rising with each downturn for decades but the figures have surged this time.
"Long-term unemployment is alarmingly high: in the US, half the unemployed have been out of work for over six months, something we have not seen since the Great Depression," he said.
Spain has seen the biggest shock,
(Excerpt) Read more at telegraph.co.uk ...
“Long-term unemployment is alarmingly high: in the US, half the unemployed have been out of work for over six months, something we have not seen since the Great Depression,” he said.”
How many aliens were in the country then?
That really surprises me as these are the folks who orchestrated it.
What we are doing is creating the initial conditions where a demagogue (or demagogues) can arise and raise an army (or armies) and start marching. Wars are easy to start and extremely difficult to end.
When nations have poor leaders, the people pay the price in blood.
When things go as they should, they pay it in the blood of the leaders.
Sounds like the Liberal Free Trader Globalists are in a panic...maybe they will finally realize that Globalism does not work...because you end up running out of America’s money
It’s mainly an American phenomenon. Most of the rest of the world is still growing very fast.
In the U.S. alone, if you combine the number of people who could work but who are already permanently on welfare with the long-term unemployed, the real burden becomes more apparent.
Ambrose. He is certainly a doomer.
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