Bank of America would slash 30,000 jobs. More banks would follow the footstep soon. Reason: Banks took position on risky assets with no fundamentals. Toxic assets would kill many jobs in the banks/financial institutions in USA and in Europe. Get ready for financial turmoil for the next 2-years. What to do, unless the government takes swift and intelligent action, the number of unemployed could soar from 25 million to 40 million, and President Barack Obama's jobs plan doesn't cut it. President plan is a joke.
I would rather say that President Obama came up with a jobs plan that the Republicans would have opposed anyway, rather than the marginal plan" he proposed for the sake of getting Republican agreement. There is a jobs crisis in USA. Unemployment is a bubble that would burst very soon. USA is right now on the verge of a double-dip recession. The government must do more to avoid a deepening jobs crisis.
Ninety percent of economists would say the same thing. This is really mainstream stuff. This shouldn't be contentious. But it's very difficult to fight ideology with those who ... believe that the US government is the source of all our problems. President Obama’s jobs speech were “the scale of the package" and the fact that Obama's stimulus relies too much on Social Security and other tax cuts.
Tax cuts don't have big multiplier effects because people use them to pay down [existing] debt. Excluding those tax cuts leaves about $150 billion to create change.
And that's just not enough. According to tradingeconomics.com, the unemployment rate in the United States was last reported at 9.1 percent in August 2011.
From 1948 until 2010 the United States' unemployment rate averaged 5.80 percent reaching an historical high of 10.80 percent in November 1982 and a record low of 2.50 percent in May 1953. USA is on the verge of unemployment bubble.
Disclaimer: This is a just research piece and not an investment advice. All financial transactions carry a RISK.