Germany, Europe’s most robust economy, said Thursday that its unemployment rate fell to 5.3 percent in November, the lowest figure since West and East Germany were unified in 1990.
Even as Chancellor Angela Merkel and other Berlin politicians struggle to form a coalition government, the German economy remains strong, with a months-long dip in the country’s jobless rate and solid demand for German products from other countries.
The German report came as Eurostat, the statistics agency for the European Union, said the jobless rate for the 19-nation eurozone bloc that uses the euro currency dropped to 8.8 percent in October. It was the lowest figure since January 2009, when Europe and countries across the world were in the midst of a steep recession.
The German and European jobless rates trail those in the United States, the world’s largest economy, where unemployment has dropped to 4.1 percent, a 17-year low. But the U.S. and European numbers point to steady improvement that had been slow to emerge after the devastating job losses and high unemployment seven to nine years ago.
Eurostat said more than 14 million people remained out of work, but that was 1.5 million fewer than a year ago. In Spain, the jobless rate has been cut from about 25 percent to 16.7 percent.
European Central Bank President Mario Draghi said that while wages still are not increasing much, they could rise in the coming months as the continent’s economy continues to rebound.
Patrick Chovanex, chief strategist at New York-based Silvercrest Asset Management, told VOA the U.S. is in the eighth year of its recovery.
“It’s a recovery that has kind of waxed and waned,” he said. “One of the things that has been happening over the past couple years is that different parts of the economy were waxing and waning out of sequence with one another. So housing would be strong while manufacturing would be weak, and then vice versa. Every so often they happen to coincide.
“Right now we’re seeing a pattern of several elements of the economy being strong at once. Hopefully, that will continue.”
…
