How High Will Unemployment Levels Climb in 2020?
In April, the U.S. economy hit an ugly milestone: The unemployment rate climbed to 14.7%, the highest it's been since the Great Depression. And just this past weekend, Kevin Hassett, a senior White House economic advisor, predicted that the jobless rate could climb north of 20% for May and June. Worse yet, it's possible that we'll see double-digit unemployment rates all the way into November. Talk about dire.
With a growing number of states easing restrictions and more businesses opening their doors, you'd think we'd be getting a bit more positive news on the unemployment front. But let's remember that some out-of-work Americans have struggled to file unemployment claims, and so the data we saw in April may not fully reflect the actual jobless rate. And also, a lot of businesses received PPP loans in April and May that are helping cover their payroll costs for roughly eight weeks' time. Beyond that, those same businesses may have to lay off staff in the absence of additional small business funding.
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Source Fool.com
