The following is from the August 10, 2010, edition of The Philadelphia Daily News. SMU Economics Professor Tom Fomby provided expertise for this story.
August 11, 2010
By WILL BUNCH
The Philadelphia Daily News
THE FEDERAL Reserve Board is widely expected to downgrade its growth projections for the American economy — something the panel has already done in 2010 — when it meets today in Washington.
To which most Americans — but especially the whopping 6.6 million who have been unemployed for more than six months, by far the most since we started counting after World War II — would reply with this answer.
Yet, it's still not clear whether America's policy makers have truly come to grips with the gut-wrenching plight of the so-called "99ers" — at least 1.4 million workers who'd exhausted all their unemployment benefits before Congress just barely passed a 20-week extension — or the fact that some economists fear that the jobless rate could hover near the current 9.5 percent level for perhaps a couple of years. . .
So why can't America find a job? . . .
"Given the very impressive gains we have had in worker productivity over the recent years, companies can produce just as many goods and services as before with fewer workers," said Tom Fomby, professor of economics at Southern Methodist University.
Read the full story.
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