By: Dr. Lynn Reaser
The past five and one half years have been frustrating for the U.S. economy. We have seen periods of better growth that were quickly followed by periods of disappointment. Does November’s large gain of 321,000 jobs suggest that we are finally moving to a higher and more solid track?
While the underlying trend of job growth is unlikely to have accelerated to November’s pace, last month’s gain and its broad-based coverage across various sectors suggest that the economy has gained momentum. Small businesses are again hiring, and various companies may give slightly larger raises in 2015 as unemployment continues to fall. The plunge in gas prices has boosted consumers’ spending power and their confidence. Business leaders also are showing more optimism for 2015.
One jobs report can give only limited information, but November’s report reinforces other indicators and forces pointing to solid growth in the coming year.