Study Confirms Poverty Hits The Suburbs, Too

Say poverty in the Philadelphia area, and it conjures images of North Philadelphia or Kensington, not the suburbs.

But the suburbs on both sides of the Delaware River are becoming steadily poorer, part of a national trend that confounds long-held beliefs that life is always better in greener pastures beyond urban limits.

“People have this cliched notion of poverty being based in the inner city,” said Adele LaTourette, director of the New Jersey Anti-Hunger Coalition, which has offices in Trenton and North Jersey.  ”But it’s been moving into suburbia for some time.

“No one wants to think that their neighbors are becoming poor.”

Read more at 
http://www.philly.com/philly/news/local/20130520_Study_confirms_poverty_hits_the_suburbs__too.html#jtGAhiCISV3muuo1.99

U.S. Employers Add 165,000 Jobs; Rate Falls To 7.5 Percent

WASHINGTON — U.S. employers added 165,000 jobs in April, and hiring was much stronger in the previous two months than the government first estimated.  The job increases helped reduce the unemployment rate from 7.6 percent to a four-year low of 7.5 percent.

The report today from the Labor Department was a reassuring sign that the U.S. job market is improving despite higher taxes and government spending cuts that took effect this year.

The government revised up its estimate of job gains in February and March by a combined 114,000.  It now says employers added 332,000 jobs in February and 138,000 in March.  The economy has created an average of 208,000 jobs a month from November through April — above the 138,000 added in the previous six months.

The number of unemployed fell 83,000 to 11.7 million.

Read more:  
http://readingeagle.com/article.aspx?id=474934

The Real Fiscal Cliff: The 4.8 Million Long-Term Unemployed

Today’s alarming financial news is the rise in first-time unemployment claims to 385,000, up 28,000 and also above expectations.  The U.S. Labor Department report shows the labor market is weakening, not that it was anything resembling strong in the first place.  It makes me want to cry, because every piece of news like this makes me even more distraught about the future of the 4.8 million long-term unemployed.

I’ve covered unemployment issues or more than a decade and the future for those who are out of work beyond the normal six months funded by state benefits is very bleak.  These aren’t lazy bums, but desperate people who are financially and emotionally devastated by their situation.

Read more: 
http://www.philly.com/philly/blogs/jobs/INQ_JobbingBlog_The-real-fiscal-cliff-The-millions-of-long-term-unemployed.html#ixzz2PVbVF6gR

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Lancaster County Jobless Rate Drops in February

Map of Pennsylvania highlighting Lancaster County (Photo credit: Wikipedia)

Lancaster County’s unemployment rate slipped to 6.8 percent in February, the state Department of Labor & Industry said Tuesday.

By declining slightly from January’s 6.9 percent, the county’s rate remained among the best in Pennsylvania.

Of the state’s 14 metropolitan areas, only State College (6.0 percent) and Lebanon (6.7 percent) had better unemployment rates.

Scranton/Wilkes-Barre had the worst, at 9.8 percent.

Read more: 
http://lancasteronline.com/article/local/833506_County-jobless-rate-drops-in-Feb-.html#ixzz2PLlDgtjp

Jobs Returning To The Lehigh Valley, Slowly

Lehigh Valley workers were hit harder by the recession and recovered more slowly from the damage than those in many comparable urban areas.

That finding and a slew of others are included in the fifth annual State of the Lehigh Valley research study that was rolled out Thursday at Lehigh University by the Lehigh Valley Research Consortium and Renew Lehigh Valley.

Researchers Christopher Ruebeck and Jamila Bookwala, who led the presentation, ran down regional employment figures between 2006 and 2012, finding that the Lehigh Valley’s job market held its own prior to the recession, comparing favorably with similar metro areas, with the nation as a whole and with our neighbors in New Jersey.

But the Valley’s unemployment rate rose more than comparable metro areas during the Great Recession, and those jobs have come back more slowly than in many comparable areas or the state or nation as a whole.

Read more:  
http://www.mcall.com/news/breaking/mc-allentown-lehigh-valley-jobs-20130228,0,7642549.story

Confidence On Upswing, Mergers Make Comeback

The mega-merger is back.

For the corporate takeover business, the last half-decade was a fallow period.  Wall Street deal makers and chief executives, brought low by the global financial crisis, lacked the confidence to strike the audacious multibillion-dollar acquisitions that had defined previous market booms.

Cycles, however, turn, and in the opening weeks of 2013, merger activity has suddenly roared back to life.  On Thursday, Berkshire Hathaway, the conglomerate run by Warren E. Buffett, said it had teamed up with Brazilian investors to buy the ketchup maker H. J. Heinz for about $23 billion.  And American Airlines and US Airways agreed to merge in a deal valued at $11 billion.

Those transactions come a week after a planned $24 billion buyout of the computer company Dell by its founder, Michael S. Dell, and private equity backers.  And Liberty Global, the company controlled by the billionaire media magnate John C. Malone, struck a $16 billion deal to buy the British cable business Virgin Media.

Read more:  
http://dealbook.nytimes.com/2013/02/14/confidence-on-upswing-mergers-make-comeback/?hp

House, Senate Approve ‘Fiscal Cliff’ Bill

Official portrait of United States House Speaker (R-Ohio). (Photo credit: Wikipedia)

Editor’s note:  Well it’s about damn time!

WASHINGTON — Congress’ excruciating, extraordinary New Year’s Day approval of a compromise averting a prolonged tumble off the fiscal cliff hands President Barack Obama most of the tax boosts on the rich that he campaigned on.  It also prevents House Republicans from facing blame for blocking tax cuts for most American households, though most GOP lawmakers parted ways with Speaker John Boehner and opposed the measure.

Passage also lays the groundwork for future battles between the two sides over federal spending and debt.

Capping a holiday season political spectacle that featured enough high and low notes for a Broadway musical, the GOP-run House voted final approval for the measure by 257-167 late Tuesday.  That came after the Democratic-led Senate used a wee-hours 89-8 roll call to assent to the bill, belying the partisan brinkmanship that colored much of the path to the final deal.

Read more:  
http://readingeagle.com/article.aspx?id=440254

Senate Leaders To Make Last-Ditch ‘Fiscal Cliff’ Effort

WASHINGTON (Reuters) – President Barack Obama and U.S. congressional leaders agreed on Friday to make a final effort to prevent the United States from going over the “fiscal cliff,” setting off intense bargaining over Americans’ tax rates as a New Year’s Eve deadline looms.

With only days left to avoid steep tax hikes and spending cuts that could cause a recession, two Senate veterans will try to forge a deal that has eluded the White House and Congress for months.

Obama said he was “modestly optimistic” an agreement could be found.  But neither side appeared to give much ground at a White House meeting of congressional leaders on Friday.

What they did agree on was to task Harry Reid, the Democratic Senate majority leader, and Mitch McConnell, who heads the chamber’s Republican minority, with reaching a budget agreement by Sunday at the latest.

Read more:  
http://www.mcall.com/news/local/sns-rt-us-usa-fiscalbre8a80wv-20121109,0,6642146.story

U.S. Manufacturing Down In November

Manufacturing in the U.S. unexpectedly contracted in November as orders dropped to a three-month low and exports slowed.

The Institute for Supply Management‘s factory index decreased to 49.5, the lowest since July 2009, from 51.7 a month earlier, the Tempe, Arizona-based group said today.  Economists projected the index would ease to 51.4, according to the median forecast in a Bloomberg survey.  A reading of 50 marks the dividing line between expansion and contraction.

Less corporate investment in equipment as U.S. lawmakers debate the nation’s budget, weaker orders from overseas and disturbances related to the biggest Atlantic storm in history are converging to slow manufacturing.  Eleven of the 18 industries covered in the report reported business shrank last month.

“Manufacturing has slowed down,” Joshua Dennerlein, an economist at Bank of America Corp. in New York, said before the report.  ”Manufacturers have to prepare for demand down the road, and they’re not actually sure what it’s going to be.”

Read more:  
http://www.mcall.com/business/mc-allentown-manufacturing-october-20121203,0,334772.story

Lancaster County Budget Plan Splits Board

Map of Pennsylvania highlighting Lancaster County (Photo credit: Wikipedia)

County property taxes would increase for the first time under the current county administration with a plan Commissioner Dennis Stuckey offered Wednesday.

His plan would increase taxes by about 9.3 percent and would include raises for employees of 2.75 percent, along with departmental cuts of about 2.75 percent.

For a home assessed at the county average of $148,000, a property owner would pay about $553, or about $48 more, next year. The millage rate would increase from 3.416 to 3.741 under Stuckey’s plan.

“I don’t throw this out or offer it up lightly,” he said. “It’s not something I particularly want to do or take pleasure in, but I feel like the best course of action is a little more even approach going in to next year, offering something to our employees … and trying to get some value that will assist us in protecting our cash reserve.”

Read more: 
http://lancasteronline.com/article/local/787155_Lancaster-County-budget-plan-splits-board.html#ixzz2DeTerjYN

Study: Pennsylvania Income Gap Grew During The Last Decade

Map of Pennsylvania (Photo credit: Wikipedia)

HARRISBURG, PA — Pennsylvania‘s richest citizens pulled away from the state’s poorest during the go-go 1990s, and that trend continued as the bottom began to drop out of the economy, a new study concludes.

Between the late 1990s and early 2000s, the annual incomes of the richest fifth of state households grew by 7.2 percent, or $11,190, to $269,400 while the poorest fifth saw their average income fall nearly 8 percent, or $1,907, to $23,000.

Income inequality also grew between upper and middle-income families in the state. Middle-income families saw their earnings rise by just 1.9 percent between the late 1990s, compared to 7.2 percent for the richest fifth and 11.2 percent for the richest 5 percent of households, the study concluded.

Read more:  
http://www.mcall.com/news/nationworld/pennsylvania/mc-pa-income-disparity-20121116,0,7043436.story

Theaters, Playhouses Fear Financial Problems And Technical Demands Will Lower Their Curtains

At Oyster Mill Playhouse, the aging rooftop heating and air conditioning system is threatening to stage a death scene worthy of “King Lear.”

With audiences — and therefore revenues — down, there’s no money for a replacement, so managers of the not-for-profit community theater in East Pennsboro Twp. are hoping the community will donate about $25,000 to keep Oyster Mill going for another year.

“Like many other theaters, we are having our financial problems,” said Howard Hurwitz, vice president of the 91-seat theater’s board of directors. “This year has been kind of a bad year. We just haven’t been getting the attendance. We used to sell out on opening nights, but now we are lucky if we get the theater half-full.”

Oyster Mill is far from alone.

Read more:

http://www.pennlive.com/midstate/index.ssf/2012/11/oyster_mill_playhouse_theaters.html

Gas Prices Set A Record In California

This map shows the incorporated areas in Los Angeles County, California. Torrance is highlighted in red. I created it in Inkscape using data from the Los Angeles County Website (Los Angeles County Incorporated Area and District Map (PDF). (Photo credit: Wikipedia)

California’s average gasoline price set a record Saturday of $4.614 for a gallon of regular, up 12.8 cents overnight – but anyone who filled up in the last few days probably isn’t surprised.

Gasoline prices skyrocketed after the Exxon Mobile refinery in Torrance was knocked offline Monday by a power outage. Other lingering refinery and pipeline problems also contributed to the soaring costs at the pump.

Read more: 
http://www.mcall.com/news/nationworld/sns-la-fi-mo-gas-price-record-20121006,0,2206438.story

Unemployment Rate Up In NEPA; Scranton/Wilkes-Barre Only Metro Area In State Above 9 Percent

Locator map of the Scranton-Wilkes-Barre Metropolitan Statistical Area in the northeastern part of the of . (Photo credit: Wikipedia)

An increase in job-seekers and a decrease in jobs drove August’s residential unemployment rate in the Scranton/Wilkes-Barre metro area up two-tenths of a percentage point to 9.4 percent.

Read more:

http://thetimes-tribune.com/news/unemployment-rate-up-in-region-only-metro-in-state-above-9-percent-1.1381418

Census Shows Continued Economic Suffering From Recession

Map of the 21 counties of the State of New Jersey (Photo credit: Wikipedia)

The typical New Jersey household’s income dropped again last year, the fifth consecutive decline, according to new data released yesterday by the U.S. Census Bureau.

Not surprisingly, as incomes fell, the ranks of the poor rose.

“The latest federal statistics show there are more people in our state struggling in poverty than during any period in half a century,” says Melville D. Miller Jr., president of Legal Services of New Jersey. “That can cripple the development of our children and our state’s economic and social future.”

The latest Census estimates put the median household income in the state at $67,458. When adjusted for inflation, that was 3.4 percent less than in 2010 and 8.1 percent less than in 2008, the first full year of the recent recession. It’s also less than the actual, unadjusted, median incomes for the prior three years and only slightly above 2007’s actual median income of $67,035 — $72,666 in 2011 inflation-adjusted dollars.

Read more:
http://www.njspotlight.com/stories/12/09/20//

Rural Food Banks Struggle To Meet Need

Map of Pennsylvania highlighting Greene County (Photo credit: Wikipedia)

Like the people they help, food pantries throughout southwestern Pennsylvania are struggling — and in some cases, failing — to make ends meet as skimpy federal food supplies, a tighter state budget, higher food prices and more needy clients strain resources.

Food banks around the region are reducing the number of fruits and vegetables they distribute, trimming or even eliminating expensive protein sources such as eggs and peanut butter from the boxes given to their clients, and in some cases, must consider scaling back their operations.

In Greene County, for instance, board members of the Waynesburg-based food bank, The Corner Cupboard, were spared Monday from slashing their food box distribution from monthly to bimonthly only after a last-minute $10,000 donation from natural gas drilling company EQT, according to board member John Jenkins.

“I don’t want to tell people we don’t have food for them, my God, but there’s just nothing we can do right now,” Mr. Jenkins said. “We’ve robbed Peter to pay Paul to try to stay afloat as it is.”

Read more: 
http://www.post-gazette.com/stories/local/region/rural-food-banks-struggle-to-meet-need-653436/#ixzz26bApTVGG

Lehigh Valley Unemployment Rate Spikes

he Lehigh Valley‘s unemployment rate spiked again in July as the number of people looking for work continues to grow faster than businesses add jobs.

The unemployment rate hit 8.8 percent in July, up from 8.5 percent in June, according to data released Tuesday by the state Department of Labor and Industry.  It is the second straight month the unemployment rate increased even though the number of Valley residents working grew.

A total of 395,300 Valley area residents had jobs in July, the highest that number has been since November 2008, just as the Great Recession was taking hold.  But the workforce is growing at a faster pace.

From May to July, 6,700 new workers entered the labor pool, but fewer than half of them — 3,200 — found jobs.  When the workforce grows faster than businesses add jobs, the unemployment rate goes up.

Read more: 
http://www.mcall.com/business/mc-lehigh-valley-jobs-july-20120828,0,386387.story

Target Steals Title Of ‘Cheapest’ From Wal-Mart

English: Logo of Target, US-based retail chain (Photo credit: Wikipedia)

Editor’s note:  There is a very good video to watch if you click on the link below.

For the first time since October, Target gas reclaimed the title  of  ”cheapest” from its fellow big-box retailer, Bloomberg reported, and the gap was the biggest its been in the two years the difference has been tracked.

That’s especially important in today’s economy, as cheap is exactly what consumers are looking for.  High unemployment, coupled with rising gas and food prices, means customers are as cash-conscious as ever.  And while retail sales finally improved in July, that was one of the first good signs for the sector in months.

Both companies have thus been trying to lure in those penny-pinching customers with discounts and slashed prices. The key to Target’s success in the pricing department  came from the addition of groceries to many stores, which cut into Wal-Mart‘s advantage on food prices.  The company has also added discount incentives through its REDCard.

Read more: 
http://money.msn.com/top-stocks/post.aspx?post=84caede6-927a-488e-842c-322ae9654306

General Dynamics To Lay Off One-Quarter Of Workers At Scranton Munitions Plant

General Dynamics will lay off about one-quarter of the workers at its Scranton munitions plant by the end of the year.

The defense conglomerate, which is based near Washington, D.C., reported it will reduce its workforce from 245 to 185 in three increments between October and December. The 60 layoffs will take place as work is completed on two contracts for production of 120mm mortar shell bodies, said Laurie Van Brocklin, a General Dynamics spokeswoman.

“We regret the impact that the action has on employees,” Ms. Van Brocklin said. “We are hopeful, with successful bids on mortar bodies contracts, that we will be able to rectify that.”

The layoffs will leave the 500,000-square-foot plant with fewer than half the employees it had when General Dynamics acquired it six years ago.

Read more: 
http://thetimes-tribune.com/news/general-dynamics-to-lay-off-one-quarter-of-workers-at-scranton-munitions-plant-1.1359821

PhillyInc: Reports See Slow Recovery For Philadephia Area

English: Philadelphia skyline (Photo credit: Wikipedia)

The construction cranes that now dot Philadelphia are a welcome sign that some business is getting done, but the steel structures tend to distract the eye from the local economy’s challenges closer to the ground.

The latest quarterly reading of Select Greater Philadelphia‘s leading economic indicators points to mid-2014 as the earliest point when employment in the 11-county region will return to its prerecession level.

A separate analysis of the Philadelphia market by PNC Financial Services Group Inc. recently concluded that the region will continue to lag behind the nation in economic growth, job growth, and income growth.

What’s going on here? Don’t we have an emerging entrepreneurial tech community, a growing business professional services sector, and an enviable cluster of top-notch higher education and health-care institutions?

Read more:
http://www.philly.com/philly/business/20120810_PhillyInc__Reports_see_slow_recovery_for_Phila__area.html#ixzz23AG6vpUA

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