The Global Unemployment Rate And Accuracy of Data

 

The condition of the economy is determined by the amount of employment. Using the global unemployment rate as a measure provides incite. Over the past 34 years, there have been fluctuations in unemployment. A number of circumstances cause this. The fall of the Soviet union caused unemployment in Eastern Europe. The global financial crisis in 2008 harmed the labor market and COVID-19 change the nature of employment. The data from over the decades is not precise. While it can be argued it was accurate, the total number of unemployed was higher. The period between 1991 to 2016 does not reflect all people without work. Much of the data used comes from either the World Bank or International Monetary Fund. These institutions have been criticized related to their conduct in regards to Global South nations. Errors can occur in data collection and the way unemployment is measured is subject to change. People who given up seeking work or not trying are excluded from the data. This  distorts the statistics of global unemployment. The number is much larger and growing. A trend can be seen with certain events. The next wave of global unemployment will come from automation and artificial intelligence. The effects of the 2020 COVID-19 pandemic caused another mass global unemployment event. The world has not recovered in terms of business security and income. The working class suffers the most, but the middle class will be the next victim. Many skilled jobs are going to be replaced. The middle class could cease to exist with the full integration of automation and artificial intelligence. Data collection must be as precise as possible to help formulate solutions to increases in global unemployment. Otherwise, economic reports from various institutions will not be useful.  

United Auto Workers Go On Strike

 

More labor strikes are becoming common. The automotive industry is now seeing workers protest their grievances. The UAW are on strike and it is entering its third day. Without a settlement, this could have negative consequences for the US economy. Corporate avarice has driven workers to protest. This is the largest strike in the automotive industry's history. A total of 13,000 automotive workers have joined the movement. The United Automobile, Aerospace , and Agricultural Implement Workers of America has an estimated 400,000 members and 580,000 retired members. The corporations effected are the three major one in the United States. Ford, General Motors, and Stellantis refused to meet the demands of employees. What the UAW seeks is increased benefits for retirees, limiting the use of temporary workers, paid leave, cost of living allowance, a pension benefit, reduced work hours, and a 40% wage increase related to contracts. The cost of living allowance demand is an obvious symptom of inflation caused by the conditions in  Europe. Another pressing matter is the right of workers to strike against closing plants. The labor  strikes are active in Ohio, Michigan, and Missouri. The CEOs of the car corporations are seeing their  pay increase, while auto workers are struggling. The government tends to side in favor of the corporate elite, rather than the average worker. Frustration has been building across the country over economic inequality and unchecked power of business. The Biden administration's poor handing of the railroad worker strike demonstrates a limited support for organized labor. The UAW does have a solution to protect auto workers. The strike fund can provide workers pay. Depending on how long the labor strikes last and inflation it might not be enough. The strike pay fund is estimated to be $825,000,000. 

Global Inflation Increases

 

The pandemic and the Russia-Ukraine war has caused an increase in global inflation. Consumer goods are rising in price due to these events. The other factor is that certain corporations are taking advantage of the situation. Intentional price hikes are being done and are not being challenged. World leaders will face the ire of citizens who cannot afford food or fuel. Food prices were previous increasing prior to the war in Ukraine. Global inflation will not effect all nations equally. The developing nations will struggle combined with debts owed by the International Monetary Fund and World Bank. The developed nations might do better, but the class structure means people in poverty are more vulnerable. It is possible that more people could fall into poverty. Inflation does happen in an economic system. The concern is about the rate of inflation, Since January prices have gone up. If this is not controlled, it is possible the world could see another economic crisis. The world have not recovered from the 2008 economic crash. The EU will see higher gas and oil prices due to the sanctions directed at Russia. Although the US is not dependent on Russian energy, the sanctions imposed will still effect American energy prices. This explains why Asian and African nations are not willing to impose sanctions on Russia. China doing lockdowns harms economic activity. A slowdown in economic growth has created fears of possible recession. While the future cannot be predicted, the condition of the global economy is weakening.