Eurozone unemployment stuck at record high

posted at 8:01 pm on October 31, 2013 by Erika Johnsen

There was a lot of fanfare in August when the eurozone finally emerged from official recession in August with the first signs of [barely there] positive economic growth, but as the latest unemployment numbers aptly demonstrate, stagnation-level growth rates do not a true recovery make, via CNBC:

Unemployment in the euro zone was 12.2 percent in September, stubbornly stuck at a record high, signalling that the region’s faltering economic recovery is yet to be felt in the job market.

The figure is unchanged from the previous month, according to revised data from European statistics agency, Eurostat. The number of people unemployed in the region increased by 60,000 in September to a total of 19.4 million. …

By contrast, in September 2012 the jobless rate was 11.6 percent and 12.1 percent in July 2013 — highlighting fears that the region’s employment picture is deteriorating and could thwart a nascent economic recovery.

As the 17-country euro zone struggled to control its three-year crisis over too much debt, governments cut back on spending and introduced tax hikes. This had a damping effect on the region’s economy, with a knock-on effect on job numbers. …

September’s employment rate was the same as August’s, with the very important caveat that the absolute number of unemployed in the eurozone actually rose by about 60,000 for a brand-new total of 19.5 million — does that situation sound at all familiar? Labor force participation rate, anyone?

Perhaps even worse, the under-25 youth unemployment rate once again rose from 24 percent in August to 24.1 percent (with more than half of young people unemployed in Greece, Spain, and Croatia) which means that too many young people are still missing out on the crucial years of career-building that can help build the foundations for a strong, thriving economy in the future. Worse and worse.


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We are so screwed, globally…

OmahaConservative on October 31, 2013 at 8:08 PM

OT/My house is being sacked by other people’s children! And not all of them are adorable!

– Croatians?

Axe on October 31, 2013 at 8:22 PM

Ours, if actually reported, would be equally as bad. Statism kills the private sector.

Murphy9 on October 31, 2013 at 8:23 PM

The Lost Decade™ goes global.

Actually, ours just turned 12.

de rigueur on October 31, 2013 at 8:24 PM

Does the Eurozone not count people who have dropped out of the job market like we do?

bw222 on October 31, 2013 at 8:25 PM

Looks like the Socialists finally ran out of other people’s money.

GarandFan on October 31, 2013 at 8:25 PM

Erika.
It’s good to see you providing economic coverage on Hot Air, but even your regulars will benefit from some connect-the-dots narrative pointing out this same phenomenom is present in the bulk of the nations that constitute 90+% of global trade.

Its implications for the future, absent any other problems, would be troubling at best. It shows a global economy which does NOT allow the new generation of workers to enjoy the same levels of prosperity and opportunity as their parents.

There is the even more chilling parallel to the last time so much economic disruption was present in the world during the 1930′s. Now, as they did then, the “dispossessed” of Europe are turning to political extremes of fascism and neo-Nazism NOT present in America (regardless of the hyperbolic reporting on MSNBC).

Equally important, Europe has copied the QE policies which originated in Japan (resulting in over two decades of non-recovery) and then imported into the U.S. economy by Bernanke with the justification that “otherwise we would have slid into another Great Depression”. The end result is the same loss of “creative destruction” which is supoosed to occur in free market economies and create new opportunities for employment.

Bernake’s QE has CAUSED greater economic disparity in American society as the QE “flow” primarily benfits the Too Big Too Jail banks (a term used by Eric Holder) as they borrow money at “no cost” but then invest in equities, Treasuries high yield, high risk investments – exactly the same behaviors which caused the economic crash of 2008.

PolAgnostic on October 31, 2013 at 8:25 PM

They should just hire all those people at 50k euros per year to do nothing, and then print more euros. QED.

WryTrvllr on October 31, 2013 at 8:25 PM

But they RAISED taxes, shouldn’t that help? And think of the massive unemployment insurance they get there. Nancy Pelosi says it is the greatest thing in the world for creating jobs.

astonerii on October 31, 2013 at 8:26 PM

– Croatians?

Axe on October 31, 2013 at 8:22 PM


No, Romulans … or worse yet, Miley Cyrus wannabee’s

PolAgnostic on October 31, 2013 at 8:27 PM

OT/My house is being sacked by other people’s children! And not all of them are adorable!

– Croatians?

Axe on October 31, 2013 at 8:22 PM

You right!!! Socialist conspiracy. Start em young.

(just bought halloween another two years)

WryTrvllr on October 31, 2013 at 8:27 PM

PolAgnostic on October 31, 2013 at 8:25 PM

They are spending about $250 million a year to keep every rich person rich which causes the rich to not have to hire employees to work and make them wealth.

astonerii on October 31, 2013 at 8:31 PM

There is the even more chilling parallel to the last time so much economic disruption was present in the world during the 1930′s. Now, as they did then, the “dispossessed” of Europe are turning to political extremes of fascism and neo-Nazism NOT present in America (regardless of the hyperbolic reporting on MSNBC).

PolAgnostic on October 31, 2013 at 8:25 PM

Not yet — but after the $200+ trillion, and exponentially-increasing, national debt bubble bursts?

Much more likely …

ShainS on October 31, 2013 at 8:33 PM

Meanwhile,…….back at the USA Ranch:

President Obama, at investment summit: ‘Over the past 3 1/2 years, our businesses have created more than 7.5 million jobs’ – @NBCNews video

6 hours ago from http://www.nbcnews.com by editor

canopfor on October 31, 2013 at 8:33 PM

Yeah, I don’t see the EU lasting much longer.

Punchenko on October 31, 2013 at 8:34 PM

Yeah, I don’t see the EU lasting much longer.

Punchenko on October 31, 2013 at 8:34 PM

I do, it is like a polygamist cult of battered wives, until WACO happens, they will stay together, to the end. In this case, either the Muslims reproduce enough to take over from the inside or Russia decides it is tired of being a single country and wants to get back into collecting nations again.

astonerii on October 31, 2013 at 8:38 PM

canopfor on October 31, 2013 at 8:33 PM

its a good thing Biden said he and BHO are not geeks…
so we know they are not too good on the math part…
(i was starting to think they were the smartest guys in the room///)
heres a clear U6 chart…
again showing the CiC…..lies….or he’s really not that bright at all…
http://www.portalseven.com/employment/unemployment_rate_u6.jsp

going2mars on October 31, 2013 at 8:39 PM

Erika, AP, Ed, MKH,

This one is worth a Green Room at the very least, I think.

http://travel.yahoo.com/ideas/fallen-soldier-213011521.html

Flight turns unforgettable when passengers learn of fallen soldier
By John E. DiScala | Johnny Jet – 3 hours ago

Delta Flight 2255 from Atlanta to Los Angeles seemed to be an ordinary flight with the exception of Candy, who was the most loving flight attendant I’ve ever encountered. Besides using her Southern charm to quickly defuse every situation, she began her welcome announcement by thanking the handful of uniformed soldiers on-board for serving our country. Her poignant message was followed by applause, and it put into perspective that none of us would be able to do what we do without these brave men and women.

But this transcontinental flight turned out to be everything but ordinary. We later learned, when the captain got on the PA system about 45 minutes prior to landing, that we were transporting a fallen soldier. The plane went quiet as he explained that there was a military escort on-board and asked that everyone remain seated for a couple of minutes so the soldiers could get off first. He also warned us not to be alarmed if we see fire trucks since Los Angeles greets their fallen military with a water canon salute. See my video below.

A few minutes after touchdown, we did indeed have a water canon salute, which I’d previously only experienced on happy occasions like inaugural flights. This time, the water glistening on the windowpanes looked like tears.

Passengers in the airport must have been worried when they saw our plane pull into gate 69A, as we had a full police and fire escort, front and back.

I was on the left side of the plane and later realized that the family could be seen off to the right, standing with the United States Army Honor Guard. According to Wikipedia, each military branch has its own honor guard, usually military in nature, and is composed of volunteers who are carefully screened. One of the primary roles for honor guards is to provide funeral honors for fallen comrades.

When the jet door opened, another military officer addressed the escort who was standing at attention. He then stepped on the plane and told us passengers “I just addressed the escort. It is a sworn oath to bring home, to the family, the fallen.” He paused and then said, “Today you all did that, you are all escorts, escorts of the heart.” And then thanked us for our time and walked off the plane.

As you can imagine, everyone was silent and no one got up, not even that person from the back row who pretends he doesn’t [understand] English so he can be first off the plane. I’m sure most had meteor-sized lumps in their throats and tears in their eyes like I did.

It only got more emotional when I deplaned. There was a large number of passengers, who are normally in a hurry to get home or make a connection, standing by the window to witness something truly moving. To see the Honor Guard and family waiting patiently, while LAX baggage handlers and a military loadmaster removed the flag covered casket first from the cargo hold, was humbling to say the least. I’m not sure if it was the fallen soldier’s mother or wife who I watched slowly walk up to the coffin while a few other family members, wrapped in blankets, stood near with a dozen or so of the Honor Guards standing in salute.

As soon as I saw her reach out to put her hand on her baby’s casket, I walked away.

This ordinary flight became extraordinary and is one that I will never forget.

Thank you to all the military who protect our beautiful country and let us live the lives we are able to lead. Without you we would be nothing. And thank you to the Honor Guard for making sure these fallen soldiers, warriors and heroes are not treated like just any piece of luggage as they used to, but rather with the care and respect they so rightly deserve.

PolAgnostic on October 31, 2013 at 8:43 PM

PolAgnostic on October 31, 2013 at 8:43 PM

a wonderful post…thank you

going2mars on October 31, 2013 at 8:49 PM

The end result is the same loss of “creative destruction” which is supoosed to occur in free market economies and create new opportunities for employment.

Bernake’s QE has CAUSED greater economic disparity in American society as the QE “flow” primarily benfits the Too Big Too Jail banks (a term used by Eric Holder) as they borrow money at “no cost” but then invest in equities, Treasuries high yield, high risk investments – exactly the same behaviors which caused the economic crash of 2008.

PolAgnostic on October 31, 2013 at 8:25 PM

Equality of results results in destruction of opportunity

It isn’t just QE which devalues the holding of the little people, but tax and regulation (including EU national health, and Obamacare) which prevent new business startups. The glory days of America everyone could have a startup. Now startups are hitting decades lows in the US and EU

NO accident most recent new US billionaires were IT, where there was little regulation and they didnt have to come up with the Obamacare bucks.

The bulk of Cypress national debt was national healthcare borrowing by a nation that relied mainly on skimming profits from off shore style banking.

Banking is the ultimate zero sum gain. It is las vegas. Real wealth creation comes from value added business like manufacturing. Banking is the auction house of old assets

The fire sale is ongoing.

In the 30′s the nazis gained momentum when currency manipulations made German WWI war debt a consuming burden

entagor on October 31, 2013 at 9:02 PM

de rigueur on October 31, 2013 at 8:24 PM

I’ll argue that it was the Great Recession (which we never actually recovered from) that was the start of our Lost Decade, but if you want to go back 12 years, I recommend adding a 13th as the dot-com bubble was burst in 2000.

Steve Eggleston on October 31, 2013 at 9:38 PM

PolAgnostic on October 31, 2013 at 8:43 PM

a wonderful post…thank you

going2mars on October 31, 2013 at 8:49 PM

…yes…Thank You!

KOOLAID2 on October 31, 2013 at 9:48 PM

Euroweanies fail again.

SparkPlug on October 31, 2013 at 10:01 PM

If they counted unemployment the way 0bama does, (much the same way way he counts votes) they would have 115% full employment

LegendHasIt on October 31, 2013 at 10:31 PM