During the past year 1.9 million Americans lost their jobs, with almost a third of those losing them last month. When the U.S. Bureau of Labor Statistics (BLS) released these numbers this week, one of the Bureau’s commissioners said the report was probably the most negative report in BLS’s 124 year history.
Meanwhile this year over 2 million houses went into foreclosure. Many of those losing their homes did not lose their jobs; they were at least somewhat fortunate. But the firings and foreclosure together affected over 3 million workers.
In the past year while the stock markets fell by nearly 50%, my retirement savings dropped 25%. I would imagine that most sociologists felt equivalent personal financial losses this year. Even those putting their savings in “fixed income” retirement funds have lost money because of the collapse of the bond markets.
Despite the huge magnitude of this economic trauma, sociologists appear to be silent about the financial crisis. The American Sociological Association’s newsletter, Footnotes, has not mentioned the crisis nor is it a special topic of the forthcoming annual convention. It is even scarcely mentioned in Contexts magazine’s blogs. Isn’t there a big enough hurt yet to talk about?
This month, after economists have begun comparing our current financial crisis to the great depression, the government finally admitted that the United States economy was in a recession. Ironically, they also added that we had been in a state of economic recession for 12 months.
Sociologists, like the American government, have not told the public anything about the financial crisis. Wait, isn’t that criticism a bit unfair? After all, it takes at least a year or two, if not three, to conduct a thorough study. But have we not learned what social effects resulted from previous economic recessions and depressions? Maybe. It is difficult to find discussions in the sociological literature on this topic.
About the only one discussing the sociological effects of the current recession is David Brooks, a journalist who writes Op-Ed Columns for the New York Times. Last month in “The Formerly Middle Class”, he wrote that those on the low rungs of the middle class are those for whom the recession is the most catastrophic. “Recessions breed pessimism,” he wrote, and he claimed that millions of Americans, to say nothing of the billions in the developing world, are “facing the psychological and social pressures of downward mobility.”
Career reversals and job loss yields serious self-doubt, he argued. For the formerly middle-class, housing reversals mean returning from suburban dream homes to run-down apartments, to paraphrase David Brooks’ message.
Brooks’ most interesting theories have to do with social capital and social identity. Quoting Robert Putnam, he argues that economic depression yields social isolation because people have to stay home more and their community bonds break up. In fact, the history of our great depression shows that suicide rates and divorce rates went up while birth rates went down.
These predictable trends yield alienation and social protest, and therefore Brooks predicts that the next big social movements will start from the formerly middle class.
Much of this analysis is conjecture, but isn’t it more relevant than any other sociological topic these days? Economic forecasters share the hunch that the economy will continue to worsen for at least a year. It is very likely that most of us in the middle class will have lost half of the value of our assets before the recession is over. Few will not face sacrifices, struggles and maybe even suffering during the years ahead. What can sociology say now, not next year, to help us understand better what is happening so that we can get through this with greater understanding, and compassion for ourselves as well as for others?
Comments 1
Jorjann Chezem — June 3, 2009
I urge you to take action NOW!
Data is available now! No need for conjecture.
Nor, should Sociologists wait for Americans to endure the next ill-timed economic quagmire.
Americas' government and it's policies have strangled private industry and it's laborers in elephantine financial proportions.
The following factors correlatively have opened the "abyss" which American workers and their jobs have been sucked down into. Attacked by both the over reaching gluttonous orifice of the Federal government and the burgeoning numbers of illegal aliens/immigrants in this country.
The invasion of millions of illegal aliens has exploded on United States soil. According to Brad Knickerbocker, Christian Science Monitor, May 16, 2006 along with his sited sources:
US CENSUS BUREAU, US CITIZENSHIP AND IMMIGRATION SERVICES, PEW HISPANIC CENTER, US BORDER PATROL UNION LOCAL 2544, BEAR STEARNS ASSET MANAGEMENT; RICH CLABAUGH - STAFF
"As of 2003, the US Citizenship and Immigration Services put the number at 7 million. Since then, United States immigration officials have said the number has grown by as much as 500,000 a year."
Ascertained from the Department of Homeland Security Febuary 2009 Population Estimates:
"Mexico continued to be the leading source of unauthorized immigration to the United States (see Table 3). The estimated unauthorized immigrant population from Mexico increased from 4.7 million in 2000 to 7.0 million or 61%."
Although immigration from Mexico continues to dominate unauthorized population growth, the greatest percentage increases during 2000-2008 were among immigrants from Honduras (81 percent) and Brazil (72 percent).
estimates by State of residence."
May 8, 2009 The U.S. Bureau of Labor Statistics (BLS), reported that under the Employment Situation "the unemployment rate rose from 8.5 to 8.9 percent. Since the recession began in December 2007, 5.7 million jobs have been lost. In April, job losses were large and widespread across most private-sector industries. Overall, private-sector employment fell by 611,000."
The U. S. Bureau of Labor Statistics reported that the annual total for Mass Layoff Statistics,2008, was 19432, this is the highest total of Mass Layoffs since 2001, which reached 19449.
These numbers of Mass Layoffs are recorded for non-farm, private sector employment.
Which begs the question how were the farm laborers effected by Mass Layoffs? And why are the totals for 2001 and 2008 extremely similiar?
According to the (BLS) the Mass Layoffs Total all industries for 2001 was 21467, with the annual total of 21137 in 2008
Presumptively, one could surmise that events Nationally effected supply and demand during these periods of time that were beyong our control. "9-11" and The Obama Administration takeover.
Recessions or depressions breed apathy. As wage earnings drop, so to the sociocultural opportunities.
Self-preservation, ego-centricity, anomie are all fertilized by the precipating loss of employment, the loss of house or home, even the loss of family and friends.
I would suggest a visit to your local unemployment office, or homeless shelter and look into the eyes of those who have lost everything. There is your data!
My Country, your Country is being dismantled job by job, home by home, Freedom by Freedom.
Unless we stand united, and take action to recapture our "social capital" the "statistics of "jobless and homeless" will continue to grow not by the thousands but by the millions.
Then we will have plenty of data.
Jorjann Alexander-Chezem
769 Cedar Drive
Loveland, OHIO USA