Last Time Housing was at this Level Unemployment was 6%

By Oct 17, 2012, 3:53 PM Author's Blog  

Unemployment was 5.8% in July 2008 and 6.1% in August 2008.  Housing starts were 923,000 in July 2008 and 844,000 in August 2008.

Housing starts are now at 872,000.  And unemployment is 7.8%.  If you prefer other numbers like employment to population, or U-6, then things are much worse.

It’s not housing!  It’s NGDP, and it always has been.

With more NGDP we could be at 6% unemployment, even if we were just building 900,000 houses per month.

  • SHARE:
  • Share on StockTwits

LEAVE A COMMENT

SPY197.72  chart-0.93  chart -0.47%
GOOG589.02  chart-4.33  chart -0.73%
AAPL97.671  chart+0.641  chart +0.66%
TSLA223.57  chart+0.03  chart +0.01%
BBRY10.27  chart-0.11  chart -1.06%
NFLX421.86  chart-3.52  chart -0.83%
FB75.19  chart+0.21  chart +0.28%

Nikkei15529.4  chart+71.53  chart +0.46%
Shanghai0.00  chartN/A  chartN/A
UK6800.45  chart+8.90  chart +0.13%
France4345.00  chart+14.45  chart +0.33%
Germany9631.90  chart-12.109  chart -0.13%