| Sumario: | In 1999, unemployment fell to its lowest level in 30 years, with services responsible for most job growth, although the recent downward trend in manufacturing employment was halted in the second half of the year. Gross domestic product rose 4.3 percent in 1999, largely because of exceptionally strong consumer spending. Over the course of 1999, total nonfarm payroll employment rose 2.7 million, to 129.6 million in the fourth quarter, and the unemployment rate fell to 4.1 percent. Rising employment and falling unemployment resulted in fears that the economy would overheat, prompting the Federal Reserve to increase interest rates several times in the second half of the year. Wage growth was tepid throughout 1999, and consumer prices increased just 2.6 percent from 1998. A number of significant developments and issues related to the American economy and labor market in 1999 are discussed.
|
|---|