失业率也高，止赎率和破产率都会上升。大多数情况下，即使在高中毕业后，美国的青年人仍然处于失业状态。 （Mankiw）劳动力市场受到严重影响，即使劳动条件略有好转，但还有很长的路要走。许多美国人还在兼职工作，他们希望转到全职工作。奥巴马政府成立时，美国经济已经面临经济衰退的过去低迷时期。 （Morcroft）事后的影响众所周知，失业问题依然存在，并没有得到解决。失业问题缓慢进入经济，造成经济崩溃的恶性循环。减少失业救济金和保险金政策必须由政策管理者减少，取消最低工资，并集中力量使失业工作在任何可能的工资上。
Unemployment is a serious issue
There will be decline in production of goods and services due to unemployment and these results in declination of the economy. The combination of unemployment and lost production leads to an adverse effect. As per the economists, if the rate of unemployment increases by one percent then the rate of gross domestic product decreases by three percent. Loss of production leads to a loss of favorable chance forever (Amosweb.com, n.d.).
Effect of Unemployment in the Economy
Also unemployment leads to high rate of foreclosure and bankruptcy rates to rise. Mostly it is the youth population that remains unemployed today in the USA, even after graduating high school and college. (Mankiw) The labor market has been severely impacted and even though there is slight improvement in the labor conditions, there is a long way to go still. Many Americans are still working part time, and they want to shift to full time jobs. When the Obama administration came into existence, the US economy was already facing the past downturns of the recession. (Morcroft) The after effects are well known, as unemployment still remains intact and has not been handled. The problem of unemployment slowly eats into the economy and causes a vicious circle of an economy’s breakdown. Reduction of unemployment benefits and insurance policies must be reduced by policy administrators, abolishing the minimum wages and focus on making the unemployed work at any wage if possible.