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  • 5.2% Mass. jobless rate forecast in 2017

    The Boston Globe - 11/13/2013

    Earlier this year, Massachusetts had regained all of the jobs lost in the last recession, but the economy has since created jobs more slowly than expected. Employers cut jobs in five of the first eight months of 2013, state statistics show, and the unemployment rate has risen nearly a point since March, when it fell to 6.4 percent.

    Alan Clayton-Matthews, the Northeastern University economics professor who prepared the forecast, blamed the start-and-stop growth largely on federal budget and tax policies. The automatic budget cuts known as sequestration and an increase in federal payroll taxes weighed on the economy earlier this year, while last month’s partial US government shutdown is expected to slow the economy in the last few months of 2013.

    Economic and employment growth in the state are projected to pick up next year, then accelerate to an annual rate of nearly 2 percent, or roughly 70,000 jobs a year, before slowing significantly in 2016 and 2017, according to the forecast.