Economy Alarm: Latest Numbers Confirm: Stimulus Still a Failure as States Continue to Dump Jobs

October 21, 2009

Latest Numbers Confirm: Stimulus Still a Failure as States Continue to Dump Jobs

43 States Lose More Jobs, 23 Experience Higher Unemployment Rates in September

 

Dems Asked the American People to Trust Them With an Unprecedented Level of Funding

“We cannot overstate the importance of this effort. We are asking the American people to trust their government with an unprecedented level of funding to address the economic emergency. In return, we must prove to them that their dollars are being invested in initiatives and strategies that make a difference in their communities and across the country.” (“Memorandum to Head of Departments and Agencies,” www.Recovery.gov, February 9, 2009)

Credibility Crash: Unemployment Continues to Rise as 43 States Lose More Jobs, 23 States See Higher Unemployment

 

Unemployment rose in 23 states last month as the economy struggled to create jobs in the early stages of the recovery.

 

While layoffs have slowed, companies remain reluctant to hire. Forty-three states reported job losses in September, while only seven gained jobs, the Labor Department said Wednesday.

 

Some of the states that lost jobs still saw their unemployment rates decline, as discouraged workers gave up looking for work. People who are out of work but no longer looking for jobs aren’t counted as officially unemployed.

 

That trend was evident nationwide in September, as nearly 600,000 people dropped out of the work force, the department reported earlier this month.

 

The U.S. jobless rate rose to 9.8 percent in September, a 26-year high, from 9.7 percent. Some economists estimate it would have topped 10 percent if there had been no change in the labor force.

 

Still, Ohio lost about 6,000 jobs in September, and much of the improvement in its unemployment rate came from discouraged workers leaving the work force.

 

Nevada, Rhode Island and Florida last month posted their highest jobless rates on records dating to 1976, the department said. Fifteen states and Washington, D.C., reported unemployment rates of 10 percent or more.

 

Michigan reported the nation’s highest unemployment rate at 15.3 percent. It was followed by Nevada at 13.3 percent, Rhode Island at 13 percent, California at 12.2 percent and South Carolina at 11.6 percent.

 

Real estate continues to bedevil states that enjoyed a housing boom. Florida’s jobless rate rose to 11 percent from 10.8 percent in August, as the state lost nearly 13,000 construction jobs. California lost 39,300 jobs, including more than 14,000 in construction. Nevada lost 3,500 construction jobs, though it boosted employment in services. (Christopher Rugaber, “23 states report higher unemployment in September,” Associated Press, 10/21/2009)

 

 

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