ECONOMY

By Nicholas Pell

With 2012 here, many people are understandably growing weary of the U.S. financial crisis. When will the economy get better? How does the debt crisis in America inform the U.S. financial crisis? And perhaps more ominously–will the economy get better…ever?

In Will 2012 Be the Year the Economy Recovers? we examine whether and economic recovery is possible in 2012. Below are the references for facts mentioned in the article. Keep reading to learn more:

Obama Pledges Public Works on a Vast Scale (New York Times)

A new study has found that nearly one-third of adults who were raised with a middle-class income in the United States are not able to maintain this economic status when they reach adulthood. Further, the tough economy they face now will make it even more difficult for them or their children to find a place as middle-income Americans in the coming years.

American Adults Suffering from Downward Mobility

The U.S. unemployment rate 2011 ended on a great note with an unexpected drop to 8.5 percent, according to a new report from the Labor Department. The year-end drop, which was reported only one day after the government announced  unemployment claims had dropped considerably last week, can be attributed to an increase in new job creation.

U.S. Unemployment Rate Lowest Since Feb. 2009

The U.S. job market saw significant ups and downs over the past year and it appears that trend is continuing. While a new Labor Department report shows the number of unemployment claims fell for the last week of 2011, a separate report shows the number of employers announcing job cuts for the year rose substantially.

Unemployment Claims Fell to 372,000

By Nicholas Pell

Consumer confidence is at an eight-month high, but that isn’t going to help Sears and Kmart employees. Even the news of a mystery man paying Kmart layaway balances won’t keep Sears and Kmart locations open. The retail giants are set to close over 100 stores across the country in the wake of lackluster Christmas sales.

AT&T has decided to officially kill off a $39 billion deal with T-Mobile that would have created the nation’s largest wireless company by a long shot, the wireless service provider announced on Monday.  The company said continuous resistance from the U.S. government forced its cancellation of a bid to purchase T-Mobile from telecommunications company Deutsche Telekom this week.

AT&T Deal Could Hurt Customers and Employees

Due to today’s economy, young adults are earning slightly more or slightly less than their moms and dads depending on gender, according to a new poll conducted by the non-profit Young Invincibles and the think tank, Demos. However, according to a separate study, all young adults are more likely to have a difficult time making their way to a middle-class income than their parents.

Young Adults Encounter Gender and Age Income Disparity

By Nicholas Pell

Claims for unemployment insurance fell to a 9-month low this week. While touted as a sign of recovery, it is worth examining why. There are no credible signs that growth in jobs is a reason for the drop in the unemployment rate. Indeed, the real reason for fewer unemployment benefits claims seems to be quite the opposite. 

A new report from Thomson Reuters and the University of Michigan has found that consumers are feeling a lot better about labor conditions and the economy as a whole. As a result, the consumer confidence index rose to its highest level in six months in early December.

Consumer Confidence Index Climbed 4 Consecutive Months