Matt Yglesias

Jul 2nd, 2009 at 11:26 am

State by State Variance in Unemployment is High

The economy's fine in North Dakota, unfortunately nobody lives there (cc photo by afiler)

The economy's fine in North Dakota, unfortunately nobody lives there (cc photo by afiler)

As economic conditions continue to deteriorate, it’s interesting to look at the state-by-state numbers from the Bureau of Labor Statistics because they show an incredible amount of variation. For example, the national unemployment rate would probably be lower had Ben Nelson (D-NE) not joined with some Republicans to render the stimulus stingier and less effective. But that said, Nelson’s constituents in Nebraska are actually enjoying pretty robust labor market conditions and a 4.4 percent unemployment rate.

Similarly, if you’re Finance Committee Chairman Max Baucus of Montana, your constituents have a 5.8 percent unemployment rate. And Budget Committee Chairman Kent Conrad hails from the great state of North Dakota, where the unemployment rate is only 4 percent. But of course only a trivial proportion of the American population actually hails from those states. All three combined contain fewer people than Michigan where the unemployment rate is a terrifying 13.9 percent. California is looking at 11.2 percent and sure to go up as the budget crisis unfolds. In Florida it’s 10 percent.

It’s also interesting to note that, on a metropolitan level, while Greater New York City’s 8.2 percent unemployment is bad, it’s actually better than average. And that’s in the town that’s obviously been ground zero for the financial system collapse. And of course in metropolitan DC, we’re at a comfortable 6.2 percent unemployment rate, leaving the key political and media elites somewhat psychologically insulated from the catastrophe sweeping the country.

Filed under: DC, Economy,





26 Responses to “State by State Variance in Unemployment is High”

  1. ajay Says:

    North Dakota, where the unemployment rate is only 4 percent

    …and even she reckons she should be able to get some part time work in a month or too.

  2. Emrys Says:

    The unemployment is great in North Dakota because most everyone left a long time ago for other climes with employment potential. Didn’t you notice that the silos in your North Dakota photo look somewhat dilapidated?

  3. MAJeff Says:

    Feels weird to see all this stuff about ND since I’m moving there next month.

  4. Bottomfish Says:

    And of course in metropolitan DC, we’re at a comfortable 6.2 percent unemployment rate, leaving the key political and media elites somewhat psychologically insulated from the catastrophe sweeping the country.

    Perhaps we should get the key political and media elites fired so that they would be better acquainted with unemployment. They are overwhelmingly liberal Democrats. MY is one of them, or at least an apprentice member.

  5. Rich in PA Says:

    Since stimulus is doled out by state, why shouldn’t agricultural subsidies be tinkered with by state according to need? It sounds like Nebraska and North Dakota could be zeroed out.

  6. Gene O'Grady Says:

    The point Emrys made is the one I was going to make about Montana — some people move there for the amenities, but many of the cities, Butte for example, are hollowed out and full of once attractive now abandoned buildings.

  7. nodakfarmboy Says:

    Yes, North Dakota is a bit empty in the rural areas. That said, our metro areas- Fargo, Bismarck, and Grand Forks- are doing quite well. It’s not all farms and ranches. One of Fargo’s largest private sector employers is Microsoft. The energy sector is doing quite well in the western end of the state, and even agriculture is holding its own.

    We look forward to having you here, MAJeff. It’s not a place for everyone, but the quality of life is good, the air is clean, the crime is low, and if you like open spaces and beautiful sunsets, we’re your kind of place. Where are you moving here from?

  8. Gene O'Grady Says:

    As someone who has been (now twice) to North Dakota in the last year for the first time in my long life, I should add to nodakfarmboy’s post that the sunrises are even more beautiful than the sunsets. I’m told it has to do with being flat.

  9. godoggo Says:

    I just skimmed the list to see where unemployment is low, and they seem to be mainly rural states with, I think, low population density.

  10. anon Says:

    It’s also interesting to note that, on a metropolitan level, while Greater New York City’s 8.2 percent unemployment is bad, it’s actually better than average. And that’s in the town that’s obviously been ground zero for the financial system collapse.

    That’s because there’s this: “Big Pay Packages Return to Wall Street–Compensation on Track to Soar as Earnings Recover From Crisis; ‘Like It’s 2007 Again’”

    As a New York taxpayer and property owner, I am deeply grateful that the feds decided to funnel untold sums of money to Wall Street through things like the AIG bailout. But, uh, as a person who thinks we need some big changes to prevent this kind of financial collapse from happening again, I am deeply, deeply worried.

  11. Brad Says:

    “Yes, North Dakota is a bit empty in the rural areas. That said, our metro areas- Fargo, Bismarck, and Grand Forks- are doing quite well. It’s not all farms and ranches. One of Fargo’s largest private sector employers is Microsoft. The energy sector is doing quite well in the western end of the state, and even agriculture is holding its own.”

    Shockingly, Matt doesn’t know what he’s talking about.

  12. 24AheadDotCom Says:

    Regarding CA, over three months ago I sent an open letter to the Center for American Progress (MattY’s employer) outlining how they could help get jobs for some unemployed people that MattY had spotlighted (by linking to the NYT). I sent two emails to Jennifer Palmieri, and she didn’t reply to either. Maybe MattY could find out whether CAP wants to actually help find jobs for people, or whether they just want to whine. I suspect the latter.

  13. Campesino Says:

    nodakfarmboy Says:
    July 2nd, 2009 at 12:08 pm
    Yes, North Dakota is a bit empty in the rural areas. That said, our metro areas- Fargo, Bismarck, and Grand Forks- are doing quite well. It’s not all farms and ranches. One of Fargo’s largest private sector employers is Microsoft. The energy sector is doing quite well in the western end of the state, and even agriculture is holding its own.

    We look forward to having you here, MAJeff. It’s not a place for everyone, but the quality of life is good, the air is clean, the crime is low, and if you like open spaces and beautiful sunsets, we’re your kind of place. Where are you moving here from
    ============================================================

    They say the snow never melts in North Dakota. It all just blows over into Minnesota

  14. ben cronin Says:

    great post MY, extremely insightful, esp. re: the DC cocoon vs. the Michigan Rust Bowl.

  15. andy Says:

    So did those floods in Fargo ever go down?

  16. Matt W Says:

    Brad @14: Nothing in your quote contradicts anything Matt said. It was in response to commenters. Shockingly.

  17. Matt W Says:

    Whoops, that’s Brad @11. I fail.

  18. Everyone Says:

    Shut the fuck up, Lonewacko.

  19. myglesias Says:

    I agree with Matt W

  20. Max424 Says:

    From Meteor Blades, in today’s Daily Kos.

    “In 1974, the job recovery took 19 months; in 1981, 28 months; in 1991, 32 months; in 2001, 47 months.”

    I would call this a pattern. The rest of the post is equally ominous.

    http://meteor-blades.dailykos.com/

  21. Brother, Can You Spare Some Green Shoots? « Around The Sphere Says:

    [...] Matt Y looks at the situation state by state [...]

  22. ACLS Says:

    A few weeks ago, I saw an interesting investigative report about North Dakota and why their economy is doing so well, and I just found out it’s online! Take a look.

    http://tinyurl.com/mb5vds

  23. pete from baltimore Says:

    I would just like to say that this is a very strange list that MR Yeglesias linked to.

    Under Pennsylvania it has Philadelphia combined with Camden ,New Jersy and Wilmington ,Deleware.I know that these cities are close, but they are all listed under Pennsylvania.Does that mean that they are included in the Pennsylvania total figures.

    There are many other examples of this.Martinsburg ,West Virginia is listed under Maryland.

    I can see that they are looking at regional areas rather than cities much of the time.But it makes figuring out the state figures very confusing.

    I also think that combining Baltimore City with Towson is somewhat misleading.Towson is a fairly wealthy area ,and their unemloyment rate is far different than Baltimore City’s.

    I am not disputing MR Yglesias’s main point.I just wished that the list was done better.The sad thing is that it was done by the government.

  24. myglesias Says:

    It’s a standard list of census-defined metropolitan statistical areas.

  25. P Snowden Says:

    “For example, the national unemployment rate would probably be lower had Ben Nelson (D-NE) not joined with some Republicans to render the stimulus stingier and less effective.”

    Why should we have blown more money on the stimulus when only a fraction of it has been doled out thusfar?

  26. skeptonomist Says:

    Agricultural and industrial employment/unemployment are different – fewer farmers lose their “jobs” in a recession and demand for food is relatively constant. I don’t know that the state-by-state figures reflect this.


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