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February Jobs Report May Signify Economic Growth
Published on Mar 4, 2011
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The U.S. economy added 192,000 jobs last month, as the national unemployment rate fell to its lowest level in nearly two years, the Labor Department said Friday.
According to the report, unemployment fell to 8.9 percent in February, having not dipped below 9 percent since April of 2009. While February's employment figures provided a degree of relief for economists, January's poor showing of only 63,000 new jobs makes the first two months of the year statistically similar to last fall.
"Economic recoveries can be like a snowball rolling down a hill, in that it takes time to get some momentum," John Ryding, chief economist at RDQ Economics, told the New York Times. "People hesitate until they feel that the recovery's durable enough, and then they have a tendency to jump in. Maybe we're finally getting to that jumping-in moment."
Other recent studies showing improvements in small business lending, consumer spending and private sector hiring add to that analysis. Last month, Treasury Secretary Timothy Geithner declared that the U.S. economy is currently in its strongest position since before the recession, providing encouragement to entrepreneurs forming a corporation.
However, few are willing to declare victory outright, as most economists expect unemployment to remain at recession-era levels through 2011.