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


SPY194.98  chart+2.29  chart +1.19%
GOOG542.88  chart+10.17  chart +1.91%
AAPL104.4529  chart+1.4629  chart +1.42%
TSLA234.64  chart+3.54  chart +1.53%
BBRY10.125  chart+0.235  chart +2.38%
NFLX382.65  chart+8.00  chart +2.14%
FB79.5431  chart+1.1731  chart +1.50%

Nikkei15138.96  chart-56.81  chart -0.37%
Shanghai2302.418  chart-24.135  chart +0.00%
UK6400.07  chart+0.34  chart +0.01%
France4141.97  chart+36.88  chart +0.90%
Germany8993.42  chart+53.28  chart +0.60%