The old industrial states continue to have high unemployment. So do the states that became part of the US relatively recently. Most of this second group were regions of opportunity. The populations which flooded to them over-burdened jobs markets. The problems of both old and new states will take years to solve.
Rhode Island was one the original thirteen states and had a thriving manufacturing sector for decades. Factories where operated by skilled laborers. Many of theses were jewelry and complex tool operations. Much of the work done by these firms is now done by machines, or the goods are no longer needed at all. Rhode Island had no way to replace these businesses. Tourism has increased in the state, but not nearly enough to bring unemployment down from the 10.4% reported in October. Rhode Island still struggles to create work for people who live there.
Nevada became the 36th state in 1864. Its sparse population in the 19th Century made money on cattle ranching and mining. When gambling came to the state, so did large businesses. Nevada’s population move than tripled from 1980 to 2010. It only took a modest drop in the gambling industry to put tens of thousand of new residents out of work. Nevada’s unemployment rate of 14.3% is the highest in the country.
There are no ready solutions to the problems of older states like Rhode Island and Michigan. Their industrial bases will never be replaced. The rapid rise in some businesses in states like Nevada and California are over. And, there is no sign that growth will renewed.
Douglas A. McIntyre
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