A lot of individuals lost their jobs during the worst parts of the recession. Huge money advances were drawn for government stimulus programs, with the idea that jobs would be created and joblessness reduced. The stimulus programs actually had the opposite effect, as unemployment has actually worsened. There were27 states that had joblessness rates rise in the month of August. There were 13 states saw joblessness decrease. Also, 10 states and Washington D.C. had no change. Still, we are assured that the recession is over. There does not appear to be much reassuring of that proclamation.
Unemployment spikes in August
The last month hasn’t been good for the jobs situation. Unemployment increased over that time. There were, according to CNN, 27 states which had an increase in joblessness in August. Nevada still has the highest joblessness rate in the nation at 14.4 percent. Michigan and California have joblessness levels of 13.1 and 12.4 percent, respectively. These have been the hardest-hit states throughout the recession. There was even an auto bailout which saw billions in emergency loans go to Detroit.
It had been the fault of the Census
There was a proximate cause of the latest upturn in joblessness. The 2010 Census just concluded, according to USA Today. The Census temporarily employed lots of individuals. There were 114,000 individuals employed for that purpose. However, signs of life did emerge. Private employers are starting to slowly add jobs again. Having a pay day again must come as a relief to the 67,000 new jobs added by private employers. The end of the Census was envisioned to have a negative impact on the unemployment level and jobless claims, as there isn’t enough instant money floating around to hire all of them back into the private sector.
Comeback beginning
Recent data was released indicating the recession was supposedly over. That said, joblessness is nevertheless high, and lending is not happening as much as it maybe should be. It becomes difficult to reconcile that with the idea that the recession is over.
Additional reading
USA Today
usatoday.com/money/economy/2010-09-21-unemployment-rate-state_N.htm
CNN
money.cnn.com/2010/09/21/news/economy/state_unemployment/index.htm
