U.S unemployment rises slightly to 7.6% Canada falls slightly to 7.1%

The American economy created 175000 net new jobs in May as unemployment rose very slightly to 7.6%. The broad measure of unemployment U6 fell slightly to 13.8 % from 13.9% last month.In Canada employment rose by 95000 and the unemployment rate fell slightly to 7.1 %.The participation rate at 66.7 %was about 3 percentage points higher in Canada. It would seem although we can’t yet be sure that sequestration in the U.S. is causing the reduction in the U.S. unemployment rate to slow down while in Canada so long as the central bank acts sensibly  and keeps rate rises on hold and governments avoid austerity driven budget cutting the rate will drop as it should below 7 % in the months ahead.The target for unemployment should be 5 % in the short term and under 5 % in the longer term.


About haroldchorneyeconomist

I am Professor of political economy at Concordia university in Montréal, Québec, Canada. I received my B.A.Hons (econ.&poli sci) from the University of Manitoba. I also completed my M.A. degree in economics there. Went on to spend two years at the London School of Economics as a Ph.D. student in economics and then completed my Ph.D. in political economy at the University of Toronto. Was named a John W.Dafoe fellow, a CMHC fellow and a Canada Council fellow. I also was named a Woodrow Wilson fellow in 1968 after completing my first class honours undergraduate degree. Worked as an economist in the area of education, labour economics and as the senior economist with the Manitoba Housing and Renewal Corporation for the Government of Manitoba from 1972 to 1978. I also have worked as an economic consultant for MDT socio-economic consultants and have been consulted on urban planning, health policy, linguistic duality and public sector finance questions by the governments of Manitoba, Saskatchewan,the cities of Regina and Saskatoon, Ontario and the Federal government of Canada. I have also been consulted by senior leaders of the British Labour party, MPs from the Progressive Conservative party, the Liberal party and the New Democrats on economic policy questions. Members of the Government of France under the Presidency of Francois Mitterand discussed my work on public sector deficits. I have also run for elected office at the municipal level. I first began to write about quantitative easing as a useful policy option during the early 1980s.
This entry was posted in austerity, Canada, U.S., Uncategorized, unemployment and tagged , , . Bookmark the permalink.

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