Employment prospects beyond the year 2010 Term Paper

Employment prospects beyond the year 2010 - Term Paper Example The wide extent of policy actions applied by different governments during the beginning of the recession has helped stabilize financial markets and advance faster recovery, but there are still structural problems that should be conquered, and this happens to be the more challenging aspect of addressing systemic causes of the recession (United Nations, 2011, p.1). For instance, even when the banking sector made some progress in disposing some problematic assets, it is still susceptible to multiple risks. Those risks can further depreciate real estate markets, distress sovereign debt markets, and reinforce low credit growth (United Nations, 2011, p.1). Many developing countries and economies in transition, however, are demonstrating more positive signs of growth, since the third quarter of 2009 (United Nations, 2011, p.1). A strong economic rebound has been posted by emerging economies in Asia and Latin America, chiefly China, India and Brazil (United Nations, 2011, p.1). These countri es mostly used policy buffers, such as sufficient fiscal space and foreign-exchange reserves, to generate â€Å"aggressive stimulus packages† (United Nations, 2011, p.1). ... Constant high levels of unemployment, with rising numbers of workers who lacked jobs for protracted periods, are holding back private consumption demand (United Nations, 2011, p.1). They also contribute to escalating housing foreclosures, which are adding to the frailty of the financial system (United Nations, 2011, p.1). High unemployment and underemployment also harm public finances too (United Nations, 2011, p.1). This paper will explore the employment prospects beyond 2010 for the United States, Europe, and Asia. Employment Prospects The financial fragility of global economic conditions has affected remunerative employment growth and the latter stands for the â€Å"weakest link in the recovery† (United Nations, 2011, p.10). From 2007 to the end of 2009, around 30 million lost their jobs due to the global financial crisis (United Nations, 2011, p.10). This figure is said to even underestimate the entire intensity of the job crisis, since it relies on official labor statisti cs, which for numerous developing countries, only make up the formal sector employment in urban areas, and so it indicates that there is unrecorded unemployed found in low-productivity and unofficial rural economic activities (United Nations, 2011, p.10). The economic output, especially for developed countries, remain below expected rates, and slow economic growth did not provide enough jobs to hire back all those who lost their jobs since the recession took place (United Nations, 2011, p.10). Furthermore, governments that continue to follow fiscal tightening, which comprises of tax hikes and spending cuts, only depreciate possibilities of greater employment growth rates (United Nations, 2011, p.10). Some developed economies,