U.S. Jobs Rise Less Than Forecast as Economic Rebound Downshifts
“U.S. job gains slowed in September by more than half from the prior month, missing forecasts and suggesting the economic recovery is downshifting as many Americans and businesses struggle without a Covid-19 vaccine or fresh government aid. Nonfarm payrolls increased by 661,000 following an upwardly revised 1.49 million advance in August, according to data Friday from the Labor Department. That compared with the median estimate of economists for a gain of 859,000. The unemployment rate fell by more than forecast, dropping 0.5 percentage point to 7.9%, though the labor-force participation rate declined by 0.3 point to 61.4%, with declines particularly pronounced among women.”
Italy Vows to Use EU Money to Finally Alter Its Economic Destiny
“European aid money will help lift Italy’s economy out of a chronic underperformance if it’s targeted properly, according to the country’s minister in charge of industrial policy. “I am convinced that Recovery Fund money will allow Italy to finally make the leap,” Economic Development Minister Stefano Patuanelli said in an interview in Rome Thursday. Italy will be the biggest beneficiary of the aid, and could receive up to 209 billion euros ($246 billion) in grants and loans. But Patuanelli acknowledged the challenge of directing the money properly. Prime Minister Giuseppe Conte’s government will have to make tough political decisions, even at the expense of angering some supporters, so that it helps the post-coronavirus reconstruction and gives a much needed boost to long-term growth prospects.”
Japan’s Lost Generation Is Still Jobless and Living With Their Parents
“Shut out of the employment market in their 20s, they continue to search for direction in middle age. The doors open only once. That’s how people often describe Japan’s hidebound hiring system, in which college students have their best shot at landing a coveted salaried position in the year approaching graduation. Those who successfully navigate the arduous corporate recruiting process will be rewarded with a secure place on the corporate ladder, along with regular raises and promotions. The rest are largely condemned to flit from one low-paying job to the next, with little avenue for advancement and zero job security. The divide was solidifying when I finished college in 2000. It had been a decade since Japan’s bubble economy had collapsed, and employers drastically scaled back new hires to protect older workers. The labor market had entered an “ice age,” according to media reports.”
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