More than 80 percent of the forecasters polled that the recession has finally ended. The labor market is still very bleak. The crisis is here to last even in 2010. The US GDP is to grow at 3.0 percent in the third quarter. The previous survey has quoted growth rates at 2.2 percent in the third quarter.
The economy as a whole has been predicted to shrink at 2.6 percent. The job market is still sluggish. There have been 216,000 job cuts, the lowest number since August 2008. According to the Labor Department, the unemployment rate is 9.7 percent in August.
The experts are of the opinion that the job cuts will continue to take place although at a diminished rate. Economists are of the opinion that by lengthening the work weeks there will be better chances of job growth. It would also result in increased consumer spending with increased household incomes. With the government offering consumers up to $4500 in exchange for their fuel inefficient cars to more environmentally friendly ones, the demand would jump start the sluggish auto market.
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