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Economists expect the joblessness that has weighed down the nation's economic recovery will start to slowly abate in 2010, but they predict consumers will continue to keep a tight rein on spending, according to a new survey.
The U.S. economic recovery will be weaker than after previous deep recessions, and the high jobless rate will decline only slowly, the OECD said on Thursday.
The number of U.S. workers filing new claims for jobless insurance hit a nine-month low last week and retailers reported their first monthly sales gain in over a year on Thursday, easing fears that recovery from recession would be unsustainable.
The U.S. economy will grow more than expected in the third quarter, but unemployment also will continue to increase and will pass 10 percent, former Federal Reserve Chairman Alan Greenspan said Sunday.
The number of newly laid-off workers seeking unemployment benefits fell for the third straight week, evidence that layoffs are continuing to ease in the earliest stages of an economic recovery.
The U.S. Federal Reserve is expected to take note of an improving economy at the close of a meeting on Wednesday, while cautioning that high unemployment puts the recovery at risk.
President Obama is cautioning job creation could move slowly as the nation recovers from an economic recession. He told CNN's "State of the Union" signs point to recovery, although creation of enough new jobs could be delayed until next year.