In Some American Cities, the Jobless Rate Remains in Double Digits

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By Douglas A. McIntyre Published
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In Some American Cities, the Jobless Rate Remains in Double Digits

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The jobs situation in the United States has gained a level of health that could not have been imagined at the start of the COVID-19 recession. The jobless rate soared from well under 4% at the start of 2020 to double-digit percentages in April. The recovery, swift and persistent, pushed unemployment down to 3.6% this past February, as the economy added another 431,000 jobs. It seems, by that measure, that the United States had no recession at all. Or, better said, it lasted a remarkably short time.

Economists and government officials regularly point out that the jobless rate in certain cities has dropped well below 3%. In some cities, both in the Midwest and Utah, figures are closer to 2%.

Left behind, both based on the U.S. trend and most discourse about economic improvement, several cities continue to post jobless rates above 10%. Most are in areas where the jobless rate has been higher than the national average for decades. No national jobs programs have changed this.
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El Centro, part of the inland valley of California, had a jobless rate of 15.6% in January. The economy is dominated by parts of the agricultural industry that have not recovered from drought. Most residents in these areas remain extremely poor. Nothing on the horizon can change this, or the level of joblessness brought on by changes in the environment and deteriorated profits among agricultural companies.
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Texas border towns also continue to post high jobless rates. In McAllen, the figure reached 9% in January.

Can the federal or state governments address these pockets of unemployment? Given their persistence, either it cannot be done or have not been addressed for some reason.

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About the Author Douglas A. McIntyre →

Douglas A. McIntyre is the co-founder, chief executive officer and editor in chief of 24/7 Wall St. and 24/7 Tempo. He has held these jobs since 2006.

McIntyre has written thousands of articles for 24/7 Wall St. He is an expert on corporate finance, the automotive industry, media companies and international finance. He has edited articles on national demographics, sports, personal income and travel.

His work has been quoted or mentioned in The New York Times, The Wall Street Journal, Los Angeles Times, The Washington Post, NBC News, Time, The New Yorker, HuffPost USA Today, Business Insider, Yahoo, AOL, MarketWatch, The Atlantic, Bloomberg, New York Post, Chicago Tribune, Forbes, The Guardian and many other major publications. McIntyre has been a guest on CNBC, the BBC and television and radio stations across the country.

A magna cum laude graduate of Harvard College, McIntyre also was president of The Harvard Advocate. Founded in 1866, the Advocate is the oldest college publication in the United States.

TheStreet.com, Comps.com and Edgar Online are some of the public companies for which McIntyre served on the board of directors. He was a Vicinity Corporation board member when the company was sold to Microsoft in 2002. He served on the audit committees of some of these companies.

McIntyre has been the CEO of FutureSource, a provider of trading terminals and news to commodities and futures traders. He was president of Switchboard, the online phone directory company. He served as chairman and CEO of On2 Technologies, the video compression company that provided video compression software for Adobe’s Flash. Google bought On2 in 2009.

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