Economist: Improving jobs numbers could only be temporary
With the new jobs numbers reported Thursday showing a drop in unemployment -- what does that mean for Long Island?
As Long Island small businesses continue to reopen in phase three, new employment numbers from the federal government show millions of new jobs are being added.
The figures show employers added 4.8 million jobs added as unemployment fell to 11.1%. That is the second straight month of improvements, but still far short of where the country was this time last year.
Much of the improvement, experts say, comes from states allowing businesses to reopen. President Donald Trump praised the numbers, but one economist says the numbers are likely temporary as states with spiking infection rates could pull back on reopening.
"I think there's been a temporary callback because of many states opening up, but that may see a retraction as states are particularly in the South and the West like California, Florida begin to close down again to some degree," says Hofstra economics professor Martin Malkonian. "So, there is this temporary improvement, but I view it as very, very temporary."
Economists say Long Island businesses still need to be wary and New Yorkers need to keep infection rates down so the state's economy doesn't take steps backward.