2010.09.2009:43:00UTC+00Slow Us Recovery Can Lead To Stagnant High Unemployment Rate - Oecd

News:

• Soft US recovery will have no effect on high unemoloyment rate which will remain stagnant - OECD
• US measures to extend the unemployment benefit duration to 99 weeks from 26 weeks has not reduse incentives to search for work
• Current low interest rate are appropriate but government should be prepared - OECD
• Government should take measures to cut it's budget deficit from 10.6pct to 3 pct of GDP by 2015
• Government should raise consumption taxes than income taxes to cut the deficit

Quote:

• "During the 2007-2009 recession, unemployment rose for 2-1/2 years before peaking in the fourth quarter of 2009 at 10 percent of the labor force, suggesting that it could be early 2013, at best, before the rate returns to its pre-recession level,"-  the Paris-based group