2Center or American Progress | Economic Snapshot or November 2011
Share of long-term unemployment, business cycle averages
The trade deicit stays high.
Te U.S. rade deci sood a 3.7 percen o GDPin he hird quarer o 2011, which is slighly below he 4 percen recorded inhe second quarer o 2011 bu sill subsanially up rom is las rough o 2.4percen o GDP in he second quarer o 2009.
U.S. expor growh, even wheni was srong in recen years, has no been enough o overcome even largerimpor increases, ollowing in par higher oil prices. Tis pus more pressureon oher pars o he economy—consumpion and business invesmen chie among hem—o generae aser economic growh and jobs.3.
The labor market recovery is slow.
Te privae secor coninuously added jobs rom February 2010 o Ocober 2011 or a oal o 2.8 million jobs. Buprivae-secor job growh slowed subsanially saring in May 2011 hroughOcober 2011. I averaged only 119,000 per monh during ha ime,down rom 196,000 jobs per monhin he preceding ve monhs. Privae-secor job growh is urher ose by job losses in sae local governmens, where eachers, bus drivers, regh-ers, and police ocers, among ohers,are being le go, reecing govern-mens’ budge roubles. A oal o 435,000 sae and local governmen jobs were los beween February 2010 and Ocober 2011.
In sum,privae-secor job growh is oo weak o improve he economic orunes o America’s middle class, making jobspolicymakers’ op prioriy.4.
Unemployment stays high amid weak job growth.
Te unemploymen rae sood a 9 percen in Ocober 2011.Long-erm unemploymen ballooned as he unemploymen rae sayed high.In Ocober 2011 42.4 percen o he unemployed were ou o work and look-ing or a job or more han six monhs. Te average lengh o unemploymensayed close o a record high wih 39.4 weeks in Ocober 2011. Millions o unemployed (5.9 million in Ocober 2011)
sand o lose heir benes i Congress does no exend unemploymen insurance benes or he long-erm unemployed a he end o 2011.
Average weeks of unemploymentBusiness cycle start
Dec-48 Aug-53 Sep-57 May-60 Jan-70 Dec-73 Feb-80 Aug-90 Mar-01 Dec-07