Will These 5 Bright Spots Help the Economy?
The New York Times recently published an article explicating five signs that the economy is starting to pick up, despite many aspects of the situation seeming dire. The country is still struggling with high unemployment rates and stagnant growth. While some of these do provide hope for the economy, others do not seem to hold much promise.
The high school graduation rate is higher than it has been since 1974. Currently, the graduation rate is 74 percent, after remaining stagnant for years. This is seen as a positive sign, because with a high school education, it is easier to get a better job.
Another sign is more opportunities for education at lower prices. Although it is true that some educational programs are available at a low cost thanks to online degrees and other opportunities, overall education is becoming more expensive. The cost of college tuition has skyrocketed in recent years, leading to the possibility of a college debt bubble. Thus, many people are still struggling to afford an education when there may not be a job upon graduation.
The growth rate in healthcare is also slowing down over the past few years. This helps counteract the concern that rising healthcare costs could “crash the economy” according to The New York Times. These rates are not guaranteed to stay low, but could help those who are struggling with the high costs of healthcare.
A drop in energy costs is another sign the economy may be improving. The Times notes that many of the United States’ economic problems started after the 1970′s, when cheap energy was unavailable. Cheaper energy might keep costs low, but it is still necessary to find sustainable cheap energy.
Finally, being able to tap into the creativity and innovation of people all around the world due to technological advances could also help the economy. Benefits can be reaped from innovation that takes place around the world, but that still will not solve the unemployment problem. Thus, while some of these signs may provide some hope for the future, none of them really solve the high unemployment rate and other serious issues.
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