"The data is in, and last year presents an economic conundrum: Overall growth was relatively strong, but job growth was virtually nonexistent. It bodes ill for the gap between the rich and everyone else. Newly released data showed the US economy grew 2.2% in 2025. That's a respectable pace, although cooler than the past few years. Economic activity was affected by the record-long government shutdown in the fall, businesses figuring out how to handle trade announcements, and new investments."
"Meanwhile, the US added the fewest jobs since 2003 outside recessions. While unemployment stayed low, hiring and job openings fell, meaning plenty of people couldn't find a job. It's an unfortunate situation for new graduates looking to get on the first rung of the career ladder, job switchers eager for a fresh opportunity, and basically anyone looking to land a job quickly outside the in-demand healthcare and social assistance sectors."
""Consumers are feeling the weight of the price increases, and combined with the jobs outlook that's worsening they say, 'OK, when I look out, I don't see prices going down that much, but I do see my wage is not growing and my job not being as reliable or secure as it once was,'" Atsi Sheth, the chief credit officer at Moody's Ratings, told Business Insider."
US economy grew 2.2% in 2025, a respectable but slower pace. Economic activity was affected by the record-long government shutdown, business reactions to trade announcements, and new investments. Job creation was the fewest since 2003 outside recessions. Unemployment remained low while hiring and job openings declined, leaving many people unable to find work. New graduates, job switchers, and most jobseekers face difficulty finding quick employment outside healthcare and social assistance. The gap between output and jobs is producing a K-shaped economy, with higher earners expanding consumption while others stagnate and face worsening job security.
Read at Business Insider
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