CA Economy Holding Back Nation
DEC. 20, 2010
By JOHN SEILER
Strong doses of reality keep throwing cold water over Gov.-elect Jerry Brown. The mess left behind by departing Gov. Arnold Schwarzenegger seems to grow worse every day.
The latest cold water splashing comes from California Lutheran University’s Center for Economic Research and Forecasting (CERF) and its forecasts for the U.S. and California economies. It starts with the “good news. This is CERF’s first published report where we do not forecast any quarter with net United States job losses. It appears that the job recovery, weak as it is, is finally here.”
But even that weak economic recovery is avoiding California. The forecast expects, “Our forecast for California jobs is for small and declining job losses throughout 2011. Output, though, will continue to grow, at rates near those of the United States. Thus, while California will technically be in recovery, few will feel the impacts of that recovery.”
Call it the non-recovery recovery. Only in California.
This chart shows non-farm jobs for California and the United States. Note how California (yellow bars) lost jobs more quickly than did the United States as a whole (red line), and now is creating jobs at a lower rate. There’s more on this story and many easily readable charts at this link:
http://www.calwatchdog.com/2010/12/2...g-back-nation/