(StraightShooterNews.com) – In undeniable proof of the damage Democrats have caused to America, Federal Reserve (Fed) Chairman Jerome Powell recently stated that the nation’s rising unemployment is due to the influx of illegals.
His remarks come just after the Fed announced a significant cut in the benchmark interest rate.
This 0.5 percentage point reduction, the first since the early COVID-19 days, seeks to address economic strains.
Powell explained the dynamics of the job market in a straightforward manner: “If you’re having millions of people come into the labor force, then — and you’re creating 100,000 jobs — you’re going to see unemployment go up.”
He emphasized the impact of nonstop migration on the job statistics, noting, “We understand there’s been quite an influx across the borders, and that has actually been one of the things that’s allowed the unemployment to rise.”
The decision to cut rates more than the original 0.25 percentage point was based on worries about increasing unemployment and slowing economic growth.
The U.S. unemployment rate, which began the year at 3.7%, had risen to 4.2% by August, and job growth had not kept pace with expectations.
August’s job figures were particularly disappointing, adding only 142,000 jobs and missing projections by around 20,000.
Furthermore, only a mere 89,000 jobs were added in July, marking the lowest increase since the pandemic.
The situation seemed grimmer when revisions revealed that 818,000 fewer jobs were created than initially reported from March 2023 to 2024.
Over 9 million individuals have crossed into the U.S. since 2021, not counting an estimated additional million who entered undetected.
These illegals have spread from large cities to smaller towns, often taking jobs traditionally held by local blue-collar workers.
With this rate cut, the Federal Reserve signals that unemployment now represents a more significant threat to the economy than inflation.
Copyright 2024, StraightShooterNews.com
