6 Years after the Financial Crisis - How is the Economy Doing? - Financial Literacy

6 Years after the Financial Crisis – How is the Economy Doing?

Employment 7-2013

The recession that started in late 2007 has sharply knocked many people out of the workforce. Although it has been over 6 years there are still 12 million people that are under employed and waiting for their personal economic recovery. A generation is literally being lost to under employment: all of the normal markers of economic improvement are missing for 20-year olds. For example, many are still living at home, avoiding car ownership, missing out on a professional career, renting instead of owning a home, and replacing optimism with pessimism about the future.

Home ownership is a desirable element for a community. Home owners treat their living quarters better, take a more active role in shaping and stabilizing the community, etc. But home ownership has fallen from 69% to 65%, the lowest rate in 18 years.

These two elements, employment and housing, must stabilize and improve before any other economic strains are relieved: state and federal deficits, improving corporate sales, along with the U.S. Federal Reserve printing money and keeping interest-rates low.

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