The unemployment rate has fallen in recent months, while the economy has risen. According to data, average hourly earnings jumped 2.9% in January compared to 2017. Slow economic recovery is beginning to reach American's pockets. Private sector wages and salaries have risen 2.8% more than the final three months of 2017. This has been the fastest growth in wages since the recession. People predict that they will begin to see an increase in our wages within the first six months of 2018. At the State of the Union address, Trump praises his strong economic record and Republicans are hoping that the strong economy can help Trump in the midterm elections. Wage growth seems to be increasing, but it is also predicted that it will fall back down in months to come. However, others believe that since job growth has been steadily increasing, unemploym
ent rate has fallen to 4.1%. It is at a 17 year low, forcing companies to compete harder for workers, so they increase wages in order to give them an incentive to stay.
Many economists feel that Trump deserves little credit for the strong economy because the economy was already growing even before Trump became President. I believe that Trump will use this period of time to his advantage in order to give him a better chance in the November midterm elections, so that the public will perceive him as better. I think this increase in wages will benefit many, although I wonder if it will last, as not all companies can increase their wages just to keep their employees.
Questions:
1. How do you think this increase in wages and competition between companies for workers will effect unemployment rates in the upcoming years?
2. Do you think the economy recovery was due to Trump's efforts?
https://www.nytimes.com/2018/02/02/business/economy/jobs-report.html
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