Credit Crisis Yield: 20 Million Lost Jobs

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The UN may not be particularly good at mediating international disputes but it is one hell of a statistics bureau. International Labour Organisation, part of the worldwide fellowship body, said that the global recession will put 20 million people out of work worldwide by the end of next year.

The number is tragically large and most likely will usher in a period of global suffering not caused by the economy in decades. Actually, at 20 million people, the number may not have been matched at any time in history.

According to Reuters, "Construction, real estate, financial services, and the auto sector are most likely to be hit." That assumes that the downturn does not last for two or more years which would mean a number of other industries would be sucked under.

Because the rescue packages being put together by governments are local by country or region the roots that run under the worldwide economic and financial system can spread poison even to places which have been relatively immune so far. Some analysts would say China and India belong on that list. Others would say Northern Europe. No matter what the theories are about who will be spared, the economy is deeply diseased and that will result in a pandemic.

Deep differences in government policies from country to country will prevent a systematic solution to the trouble and the chaos in its wake from being crafted. That will be the reason that the effects will be end up extremely deep and nearly endless. Throwing $700 billion into the pot is the US is not worth a sou.

Douglas A. McIntyre