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Euro zone has better growth dynamics or to say, delta for growth is much higher even compared to United States and United Kingdom, two of the fastest growing G7 nations. Moreover as an area, it has much better trade position, with large current account surplus compared to deficit in both UK and US.
However all that many turn in vain if the economies in the area, fails to tackle high level of unemployed people.
Recently, Euro area unemployment rate has fallen to lowest in more than three years but still way above at 10.9%, compared to 5.1% in US and 5.3% in UK.
According to latest statistics from OECD (organization of economic cooperation and development) shows Euro area has way more unemployed people among most prominent economies.
- While Euro area unemployment stands at 10.9%, OECD average is at 6.8%The OECD unemployment rate was stable in July 2015, at 6.8%. Even country like Mexico has much better employment scenario with unemployment rate at 4.4%.
- As per latest estimate, in the OECD area, 41.6 million people were unemployed in July, among which 17.5 million unemployed in the euro area compared to 8.3 million in the United States, 3 2.3 million in Mexico and 2.2 million in Japan.
Like we said before, unless Euro zone tackles its chronic unemployment, domestic weakness and political turbulence will keep on haunting.
