Forecast says US Unemployment Rate will be 10% throughout 2010

  As per the latest forecast from White House Council of Economic Advisers on Thursday, US unemployment rate is going to hover around 10% on average throughout 2010 and economic growth will not be that significant to absorb the job loss. They also predicted that 94,000 job will be added in every month during 2010. At the same time, jobless rate may be higher because many discouraged workers may get into the job market. The white house further says that unemployment rate is expected to drop to  9.2 per cent during 2011 and 8.2 per cent during 2012. The US unemployment rate stands at 9.3% during the month of January.

President Obama whose popularity rating went down in the recent months promised that job creation will be his first priority. He is also pushing the US lawmakers to accept a stimulus package of $100 billion for this purpose. Additionally, the report says that US economy will grow 3% during 2010 and 4.3% in the next year.

The US lawmakers placed a deal to revive the job industry after hearing the gloomy news of unemployment. Two leading US senators released a $90-billion draft bill that includes tax incentives to encourage smaller businesses for hiring, extending unemployment and health benefits, and some new spending on infrastructure. The initiative is welcome by President Obama and may go for voting on the Senate in this weekend. More than 8 million people lost jobs in USA  since the depression starts in December 2007.