Unemployment Rate to Remain High

In a report released by National Association for Business Economics, economists believe employment recovery will be slow and the unemployment rate high. They agree that most jobs will not return for three years, stalling out any real recovery.

This report from the NABE would appear to contradict recent claims of a recovery already underway. Simply put, growth means jobs and if there are no jobs can there really be growth? A more reasonable conclusion is the economy may no longer be spiraling downward, but it has yet to begin the upward climb. This is the real problem.

The perception of the general public will remain negative as the unemployment rate is the most reliant indicator for the average person. If this number remains high, the fear of them being next will remain, forcing the consumer to curb spending, tighten investing and stall the economy.

Is There an Economic Recovery?

The question continues to be debated; Is there an economic recovery underway? The answer has two prevailing views. The first is no, there are little to no signs of a recovery, the national debt continues to rise, the dollar continues to plummet and there appears to be little growth in any economic segment. The opposing view is yes, there is a recovery. Job losses have stalled out, the real estate market is recovering and DOW Jones is hovering around the 10,000 mark. However, even this group of individuals agree that the recovery may be a jobless one. The unemployment reportis gloomy as once again first time claims have gone up.

So what is a jobless recovery? Basically for those that held onto their jobs, they look safe. Those that were cut, well good luck finding work that doesn't include the words welcome or do you want fries. For the latter group it will be very difficult to convince them a recovery is happening, for the former, forgive them if they hold onto a negative outlook. After all many of them are still facing wage freezes, unpaid leave and a stagnant future.

Honestly, for this individual it seems ridiculous for anyone to proclaim an economic recovery without job growth. If a large portion of society is unproductive the economy will remain at best in neutral, which is not a recovery.

Money Flooding Out of Ohio

I currently live in Ohio, a state that is for a lack of better terms; a wreck. Like many of its neighbors' Ohio is struggling economically. The tax burden continues to increase, groups point fingers at each other and many people believe that business is destroying Ohio.

This is an interesting concept; business has destroyed Ohio. Yet, when businesses were numerous in Ohio, manufacturing was rampant, Ohio was a booming state. After so many years of demanding, taking money and lobbing personal attacks, the free market opened a new sector of competition, while become ever more increasingly a close market. With new options, businesses flooded out of Ohio, running for environment's that offered more freedom and room for progress. This has left Ohio a barren land and the people very disgruntled.

So what is my point? Business are the single must important commodity for any community, state or nation, Ohio's current situation is the proof in the pudding. This seems to have been lost on disgruntled masses and politicians. Now the mob is taking the entire nation down a disturbing road.

As individual investors, it is prudent for us to investigate states and communities' and the business environment they have created. There is money to be made, but finding business friendly environments is becoming increasingly more difficult.

For those like you, buy gold and silver :)...Oh yeah consider moving.