The Worst Unemployment Chart In The World

[MrBates2]

In the US and the UK, the unemployment rate is falling sharply, and it's causing growing angst about when their central banks will be forced to consider a tightening labor market, and what that means for inflation.

Of course, there's some debate about the significance of various factors in driving the unemployment rate lower (job creation vs. people leaving the labor force).

But check out the newly released chart of Eurozone unemployment.

The line to look at is the thin blue line. It's just flatlined. Despite the main Eurozone crisis being long over, there's been no improvement in months. It's just not getting better. The EU 28 line includes non-Eurozone European countries like the UK, which as we noted is seeing a sharp drop in unemployment, and so that explains why that one is dropping.

But back to the Eurozone one. Unemployment is at staggering levels and it's not improving.



http://static6.businessinsider.com/image/52eb7a6aecad045e6d2368f5-800-/screen%20shot%202014-01-31%20at%205.22.22%20am.png
Meanwhile, Eurozone inflation just hit its all-time lowest level. Europe is looking more and more like it's in a "Japanese" deflation scenario every day.

Read more: http://www.businessinsider.com/eurozone-unemployment-chart-2014-1#ixzz2rymvOcp6

http://static1.businessinsider.com/image/52eb7eb76da811792c22d1ea-1200-500/screen%20shot%202014-01-31%20at%205.43.30%20am.png

 

[miles]

The drop in the US rate is caused by people giving up looking for a job.

 

[4est_4est_Gump]

This is what happens when you focus on Keynesian-style money supply economics.


It does not address that which actually inhibits job creation: government regulation and government as a social safety net. Someone has to pay for that with Capital. The destruction of Capital leads to the destruction of the economy, a slow grind until the triggering mechanism (e.g. Weimar).

 

[4est_4est_Gump]

You might find this morning's blog interesting...

http://globaleconomicanalysis.blogspot.com/

 

[RobDownSouth]

The drop in the US rate is caused by people giving up looking for a job.

Wrong again.

About A Quarter of the Decline in Labor Force Participation is Aging

LINK

 

[4est_4est_Gump]

The drop in the US rate is caused by people giving up looking for a job.

Or accepting the standard of living offered by government largess...

 

[4est_4est_Gump]

This morning, largely unreported, the biggest Chinese banks defaulted on a huge ponzi scheme called Happy-Go-Lucky-Get-Rich-Fund, or some similar shit.


It should have world-wide implications.

 

[4est_4est_Gump]

Down over 1% in futures...