World inflation is expected to remain high despite a series of rate rises by multiple central banks. The IMF expects weaker global economic growth in 2024 and projects world inflation next year at 5.8 percent. Returning world inflation to a 2 percent target is expected to take until 2025.—ft.com
Category: Economics in the News
Strong US Job Growth Persists
The unemployment rate rose to 3.6% in February from 3.4% in January. The increase occurred as the labor force increased by 419,000, lifting the participation rate to 62.5%, from 62.4% in January.—reuters.com Additional Data: In February 2023, the size of the labor force was 166,251,000.—Bureau of Labor Statistics
With Layoffs, NPR Becomes Latest Media Outlet to Cut Jobs
With the erosion of advertising dollars, NPR's revenues are expected to fall more than $30 million short of expenditures. CEO John Lansing announced the network would lay off roughly 10% of its current workforce—at least 100 people.—npr.org
Federal Reserve Hikes Interest Rates for the Fourth Time This Year
The three-quarters of a percentage point interest rate hike comes as Fed officials face a tough balancing act—bringing down rising prices amid growing concerns of an economic downturn. President Biden said that the U.S. is not going to be in a recession.—cbsnews.com
June Inflation Soared 9.1 Percent Amid Spiking Gas Prices
Inflation soared to 9.1 percent in June. Driving the stunning jump was the energy index, which contributed nearly half of the overall increase in inflation.—washingtonpost.com
Fewer Chickpeas Means Cheap Protein Could Be Harder to Find
Farmers in the United States planted fewer chickpeas this year as poor weather bogged down spring planting and they prioritized other crops like wheat and corn. Grocery stores report a 12% increase in chickpea prices over last year.—reuters.com
Payrolls Increased 372,000 in June
Nonfarm payrolls increased 372,000 in June. The official unemployment rate was 3.6%, unchanged from May. An alternative measure of unemployment that includes discouraged workers and those holding part-time jobs for economic reasons fell sharply, dropping to 6.7% from 7.1%.—cnbc.com
Tea Tourism Shows Huge Potential as Engine of Growth for South African Economy
Tea tourism is growing as foreign tea enthusiasts explore South Africa’s tea-producing regions. Once dilapidated tea planters’ bungalows are being turned into boutique hotels and lodges. Tea tourism is a new engine of growth, which can create jobs and alleviate poverty.—zawya.com
Rents Are Soaring Across the U.S.
Shanti Singh, legislative director of the non-profit Tenants Together, says that rent prices are soaring. Many people are behind on their rent and under severe financial strain. Some are being evicted. “We need rent control,” says Singh.—theguardian.com
Wimbledon Prize Money
Nick Kyrgios and Novak Djokovic went head-to-head in the men's final of Wimbledon with a cool £2 million going to Novak, the winner, and £1.05 million to Nick, the runner up. Players knocked out in the first round earned £50,000.— Daily Express