The country finds itself in a downward spiral that is self-perpetuating. The more jobs lost the less money consumers spend and thus more jobs are lost.
It’s important that we all realize the severity of the problem and deal with the reality of it. Americans are responding by saving more than they have in the past and that’s a good thing, but, I also think it’s important to not panic and cut all personal discretionary spending.
By EDMUND L. ANDREWS
Published: February 6, 2009
WASHINGTON — The United States lost almost 600,000 jobs last month and the unemployment rate rose to 7.6 percent, its highest level in more than 16 years, the Labor Department said Friday.
It was the biggest monthly job loss since the economy tipped into a recession more than a year ago, and it was even worse than most forecasters had been predicting.
In addition, the government revised the estimates for previous months to include another 400,000 job losses. For December, the government revised the job loss to 577,000 compared with an initial reading of 524,000. Over all, it said, the nation has lost 3.6 million jobs since it slipped into a recession in December 2007.
As in previous months, employers in January slashed their payrolls in almost every industry except health care.REST OF ARTICLE