Quote:
Originally Posted by Spuds
In case noone believes you...
4-week average of initial unemployment claims per week. Just the US, but it's a good indicator for how much demand for new cars will plummet.
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That graph paints a picture that is likely worse than the reality.
The mortgage and financial market collapse of 2008 that hit industries like the auto industry hard were systemic problems.
This pandemic will come and go. Individuals and companies will eat into their savings then business should largely return. People who were cut will get rehired back like a reverse scenario of seasonal employment. Some businesses that are operating without reserves and within tight margins might file bankruptcy or depend on the government for stimulus, loans or bailouts, but I just can’t imagine the same type of long term market drop, distrust and loss of faith in the economy, and restructuring that we saw during the last recession.
Also, I’m wondering if unemployment claims equals unemployed people because someone can file for unemployment and be denied, they can file for it when getting a large cut in hours, but still are employed, and people can file for it when furloughed, but technically they still have a job to return to when things end.
https://www.google.com/amp/s/qz.com/...e-useless/amp/
https://www.google.com/amp/s/www.cnb...-pandemic.html