Economy: America is stuck in the crisis

The recovery of the American economy has slowed down significantly. The recent labour market suggest that data. Companies and other employers have occupied the

Economy: America is stuck in the crisis

The recovery of the American economy has slowed down significantly. The recent labour market suggest that data. Companies and other employers have occupied the bottom line is that in July, 1.8 million jobs. Thus, the unemployment rate fell from 11.1 percent to 10.2 percent. Before the Corona-crisis hit the United States, had the unemployment rate with 3.5 percent on a 50-year Low. In June, employment had increased by just under 5 million.

Winand von Petersdorff-Campen

Economics correspondent in Washington.

F. A. Z.

After a dramatic slump in March and April, the labour market rebounded in may and June strong, because many of the firms called back after the lifting of business restrictions on their workers. This process has slowed down in recent weeks, after the spread of the pandemic in many regions of the United States had the business to once again slacken. The American economy has just made the half of the due to the pandemic crisis induced unemployment betting.

The diminishing successes in the fight against unemployment are gaining political salience, because in the rescue package of the government's unemployment assistance has expired. The unemployed Americans had until the end of July, in addition to the unemployment assistance for your state's 600 dollars a week. The White house and the parties in Congress have so far failed to agree on a continuation of the programme. Republicans hold unemployment assistance is too high and want to plug in in addition, a trillion dollars less in a new rescue package as the Democrats. This insistence on a continuation of the unemployment assistance by the Federal government and are in favour of a rescue package in the amount of three trillion dollars. The Republican leader Mitch McConnell announced a compromise between the White house and Democrats to agree, to the currently, apparently, being worked on.

The situation is urgent: Without Federal help the unemployed are dependent on average of around 330 dollars in a week. The assistance is depending on the Federal state to another and is different for granted for a long time. For many families, the situation is precarious, because they can't pay, especially your Rent. In the country different, in view of the pandemic issued tenant protection rules that have kept the families prior to a termination of your apartment. Many of these rules from now.

A group of researchers from renowned universities such as Princeton and has now presented a study according to which in the coming months, and 30 to 40 million renters a roof over their head may lose in the course of evictions triggered by missing rental payments. In ordinary years, to 3.7 million people in forced evictions in the year. America recorded approximately 100 million people in rental properties. Missing payments threatened with real estate owners, which could get problems, your real-estate to use loans, warn the researchers.

Updated Date: 07 August 2020, 11:20

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