Economy, Forclosures, and layoffs

The Federal Reserves have made an attempt to stimulate the economy but it could be stalled if foreclosures and unemployment remains high, which is putting a damper on consumer spending. Last week central bank announced that they would be buying $600 billion of long-term government bonds by mid-2011will. By doing this new money will be poured into private banks, which in return is suppose to drive down interest rates making it easier for consumers to get loans.

Interests rates on consumers loans are already at or near historic lows and cannot be pushed down much lower. It is believed that even if rates do get lower it is not going to generate any new activity It is not interest rates that have stopped economic activity from occurring, it is the widespread layoffs and home foreclosures that have left thousands of consumers unable to qualify for loans and lenders reluctant to take a risk on anyone except the safe borrowers.

Springfield, Ohio has been on of the hardest hit towns in Ohio by job losses and foreclosures. The Feds demands for goods and services could possibly stimulate job growth, but it's indirect method could take up to a year to fully work into the economy.

This blog is prepared by a paralegal student as a class project, without compensation. The content of this blog contains my opinion, and is offered for personal interest without warranty of any kind. Comments posted by others on this blog are the responsibility of the posters of those messages. The reader is solely responsible for verifying the content of this blog and any linked information. Content, sources, information, and links will most likely change over time. The content of this blog may not be construed as legal, medical, business, or personal advice.

Ohio Recession and Unemployment

Ohio still stands with a high unemployment rate and now in a period of slow down may be upon us. Researchers assess the state of the economy and are cautious about 2011. Even with this it seems that there has been an increase in sales tax four months in a row which includes gains of 4.9% in September and 6.1% in October.

There has been a a steady increase in the total miles traveled by commercial vehicles on the Ohio Turnpike's, but the passage of still tend to be less than pre-recession. It is believed that this shows signs in the increase of factory orders ans other signs of increasing business activity.

During the recession  the state of Ohio lost 7% of its employment compared to the nations 5%. According to senior economist unemployment in the state fell 1% point from March to September. On the down side statistics of August and September show that the growth had already begun soften.

It has also been noted that even though it may appear that Ohio unemployment levels have decrease some of the totals do not reflect those who are still unemployed and their extensions for unemployment have ran out. This leaving just as many unemployed but not counted for due to not drawing off of Ohio's unemployment. Unfortunately this is going to become true for many of those who have been unemployed since the beginning of the recession.

This blog is prepared by a paralegal student as a class project, without compensation. The content of this blog contains my opinion, and is offered for personal interest without warranty of any kind. Comments posted by others on this blog are the responsibility of the posters of those messages. The reader is solely responsible for verifying the content of this blog and any linked information. Content, sources, information, and links will most likely change over time. The content of this blog may not be construed as legal, medical, business, or personal advice.