“Weekly Digest” – When Politics Trumps Economics
Added: (Wed Jan 04 2017)
Pressbox (Press Release) -
In our latest opinion-piece, we retrospect the labor policies undertaken by the US Federal Government subsequent to the 2008 economic crisis in order to provide an ex-post analysis of how the response affected the labor market.
Decimal Point’s weekly reports, covering a vast array of trending micro and macroeconomic factors, caters to investment managers by providing in-depth assessments for informed decision making.
The shift from manufacturing sector led to service sector led economy means that there are other frictions that arise in the face of government’s response to the crisis. These frictions manifest themselves in form of job finding rates that differs across occupations. The new Trump administration, instead of considering unsustainable measures such as Quantitative Easing and increasing of duration of unemployment benefits, should heed this specific dynamic of the US labor market and enact policies to correct it by precise targeting of retraining initiatives by using job finding rates as a parameter in consideration.
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