• About
  • Advertise
  • Careers
  • Write for us
  • Contact
  • Terms of service
Thursday, May 26, 2022
The Millennial Source
TMS
Home WORLD

16.8 million Americans have filed for unemployment

April 9, 2020
in WORLD
Source: Oregon Live

Source: Oregon Live

Share on FacebookShare on TwitterShare on Linkedin



An additional 6.6 million Americans have filed for employment, bringing the total number of unemployment claims to 16.8 million in the span of three weeks. This is far and away the largest number of unemployment claims over such a short period of time since the Labor Department began collecting unemployment data in 1967.

In their Economic Policy Institute (EPI) report, economists Elise Gould and Heidi Shierholz wrote that the figure roughly equates to if the “entire adult population of Michigan, Minnesota, and Wisconsin applied for unemployment insurance in the last three weeks.”

Prior to this week, according to chief economist Joshua Shapiro of MFR Inc., the highest weekly jobless reading was 695,000 in 1982. Furthermore, according to the United States Labor Department, the numbers from the last week of March had to be readjusted for an increase of 219,000 to a total of 6.87 million. 

This readjustment comes as experts acknowledge the likelihood that actual unemployment numbers are likely much higher. The discrepancy is largely thought to be due to states struggling to process the influx of new jobless claims. 

Source: Bureau of Labor Statistics

Consumer sentiment also dropped from 89.1 to just 71 in early April, the largest one month decline on record and the lowest overall level recorded since 2011.

Government responds 

The number of unemployment claims were announced as the central bank declared plans for an additional US$2.3 trillion in loans to help bolster the United States economy.

According to a statement from US Federal Reserve Chairman Jerome Powell, these additional efforts were undertaken by the Central Bank to “provide as much relief and stability” as possible to the struggling economy. 

The bedrock of the US$2.3 trillion funding plan is a US$600 billion “Main Street Lending Program” that acts to support small and mid-sized enterprises (SMEs) that were in good financial health prior to the pandemic. It offers “4-year loans to companies employing up to 10,000 workers or with revenues of less than $2.5 billion.” 

Principal and interest payments on the loans will also be deferred for one year, the aim of which is to keep employees on these companies’ payroll. 

An additional $500 billion will be lent to struggling state and local governments. Loan programs will also be expanded to assist large companies.

The other side

Source: Transport Topics

At the daily coronavirus task force briefing at the White House on April 9, US President Donald Trump expressed confidence that the economy would “have a big bounce” and “open up strong.”

Trump is not the only one to express this sentiment. Treasury Secretary Steve Mnuchin believes that the jobless numbers “right now aren’t relevant,” saying that he believes that many of those recently laid off from their jobs would be rehired after the government’s US$2.2 trillion economic relief package is implemented.

Others, however, remain skeptical. 

“It’s not an on-off switch,” says Jonathan Millar, a deputy chief US economist at Barclays.

Regardless, the market responded positively to the news. Stocks jumped when markets opened on Thursday, with the Dow Jones industrial average gaining nearly 2%, around 450 points, despite the massive new unemployment numbers.

[article_ad]

Have a tip or story? Get in touch with our reporters here! 

Sign up for daily news briefs from The Millennial Source here!

Related

Tags: North AmericaShort read
ShareTweetShare

Latest Posts

Uvalde shooting

Texas shooting: 21 people confirmed dead; Biden says he’s “sick and tired” of US gun violence

May 26, 2022
SEC Wall Street

The US SEC investigates Wall Street over use of unapproved messaging apps

May 19, 2022
US recession

There is a “very, very high risk” of a US recession, says Goldman Sachs Chairman Lloyd Blankfein

May 17, 2022

US hikes rates by half-percentage point, rules out bigger future rate increases

May 5, 2022

What is the US Supreme Court abortion law leak, and why does it matter?

May 4, 2022

What you need to know about Pelosi’s secret trip to Kyiv

May 2, 2022

Warren Buffett is on a spending spree putting US$41 billion to work this quarter

May 2, 2022

Fed Chair Powell flags sharp rate hike next month

April 22, 2022

Goldman warns of a rate hike until inflation settles

January 23, 2022

SUBSCRIBE TO THE TMS NEWSLETTER

By providing your email, you agree to our Privacy Policy

The Millennial Source Ltd. 2021

No Result
View All Result
  • Your daily briefing
  • About us
  • Explore
    • Startups
    • Climate change
    • Tech giants
    • Crypto
    • The future of work
    • Banking giants
    • Economy
  • Lifestyle
  • TMS archives
  • Write for us
  • Contact
  • Privacy Policy & Terms

© 2022 The Millennial Source Ltd.

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In

Add New Playlist

We are using cookies to give you the best experience on our website.

You can find out more about which cookies we are using or switch them off in settings.

 

Loading Comments...
 

    string(24) "jsonld single post debug"
    The Millennial Source
    Powered by  GDPR Cookie Compliance
    Privacy Overview

    This website uses cookies so that we can provide you with the best user experience possible. Cookie information is stored in your browser and performs functions such as recognising you when you return to our website and helping our team to understand which sections of the website you find most interesting and useful.

    Strictly Necessary Cookies

    Strictly Necessary Cookie should be enabled at all times so that we can save your preferences for cookie settings.

    If you disable this cookie, we will not be able to save your preferences. This means that every time you visit this website you will need to enable or disable cookies again.