Unemployment benefits in the United States of America are known as a “Social Insurance Program.” It was started in 1932. Each American State has its unemployment insurance policy. Unemployment insurance policy is paid by the state government. The person those who are unemployed can apply for benefits. The subsidy helps unemployed people for their survival. The government takes responsibility for unemployed people. Jobless claims numerical data shown on weekly basis.
The changes in jobless claims data will impact on US economy, financial market, US stock market, taxation policy, government budgets, etc. If the jobless claims or unemployment rate is less then there is growth and stability in the economy of the US. The rise in the unemployment rate and jobless claims means downfall in the US economy.
We can see here due to covid19 pandemic situation the jobless claims increased after April 2020. The Covid19 situation highly impacts on the USA. The USA has most covid19 patients along with most death rate. So there’s a lot of financial and social pressure on the US government. The unemployment rate of the USA reached its peak in April 2020 but in Dec 2020, 6.9. was the unemployment rate going downfall from May to December 2020?
In the mid of December, a new strain of Covid19 was found in the UK which will impact the global economy and market. As per the chart, we can see the jobless claims cases rose again from the last two weeks. It may be alarming to the US market the and US economy for 2021 pandemic situation. US government should make new policies as per future events. This covid19 crisis or pandemic is going on the event. The government should manage the funds and focus on the health of the nation. I hope a new government and new President will manage all things and protect the United States of America from this pandemic situation.
Written By: Vishal Vervalkar