Almost double the national figure of 5.2%.  The pundits and politicians talk of Michigan's unemployment being a disgrace at a little more than 7%. What does that make the unemployment numbers here? What is beyond disgraceful?

" Kern County’s year-over-year unemployment rate has gone up nearly 2 percent"

No. Up 25% YOY or Up 200 bps YOY! Not 2%.

This is only the beginnnig folks, as predicted so long ago. Good luck

Considering the new housing debacle are you really surprised at the rate?  KC had one of the highest growth rates during the boom.  Both in construction and new arrivals to the area due to affordable housing.  That WILL drive the UE rate up.

Adam - This county is run by Christian reich-wing CONservatives, in both the public and private sectors. This is what happens when your leadership is run by these clowns. Everything is pro-business owner and screw the employees, this is the land of the haves and have nots!

Bakersfieldbubble, thanks for pointing out the problem with the percentages. 

We erred, and have corrected the original post in hopes of not confusing anyone.

Unemployment is up, and that's what we're trying to note.

Big of Kevin McCarthy to vote against the unemployment bill a week ago.  He is working for his district all right. 

Unemployment will rise with the coming commercial loan collapse, Business will cut back on the lower rung employees and the cycle will start to spin out of control...better to change the subject and live in denial...much safer..How about that Harvick blvd thing?

New Crisis Threatens Healthy Banks ,Late Loan Payments Hurt Smaller Lenders That Dodged Subprime Mess

Increasing struggles by consumers and businesses to make payments on a variety of loans, not just mortgages, are setting off a new wave of trouble in the financial sector that is battering even institutions that had steered clear of the subprime-home-loan debacle.

Late payments on home-equity loans are at a record high, according to fresh data from the Federal Deposit Insurance Corp. The delinquency rates on loans for cars, small businesses and construction are spiking to levels not seen in a decade or more.

Unlike last year, when soaring mortgage defaults sparked a crisis of confidence in the financial system, the root of these problems is the downturn in the broader economy. Simply put, consumers and businesses are strapped for cash with job losses growing and retail sales falling, economists said.

"We are not finished with the mortgage problem, but you are starting to see increased delinquencies in other forms of consumer debt," said Paul Kasriel, an economist at Northern Trust Securities. "We are in the eye of the hurricane. We had the first wave of the credit crisis, and it was quite damaging. But there's another wave coming, and it's likely to be as destructive."

http://www.washingtonpost.c...

Intervention will not stop dollar’s slide

The US Federal Reserve last week took a step closer to acknowledging reality. Unfortunately, it didn’t let that admission move it from a policy course firmly guided by fantasy.

In its policy statement, Fed chairman Ben Bernanke & Co took the important step in noting that inflation expectations had taken hold in the country at large. However, in asserting that it expects inflation to moderate this year and next, the Fed gave no indications that these heightened expectations are gaining traction within the rate-setting Federal Open market Committee itself.

As a result, it signaled no likelihood that it was actually prepared to do something to fight a problem it doesn’t really believe exists in the first place.

In fact, by indicating that it expects inflation to moderate, the Fed is saying that elevated expectations are unwarranted. In other words, Bernanke claims that despite the fact that so many people are carry umbrellas, he still believes it will be a sunny day. The takeaway from the statement is that no rate hike is forthcoming.

The markets saw this position for what it is … capitulation to inflation and a weakening dollar. No surprise then that the gold responded with the biggest single day gain in more than 20 years!
With the ensuing carnage on Wall Street, many Thursday-morning quarterbacks claimed the Fed missed an opportunity to reverse the dollar’s slide by either talking tougher or perhaps actually raising rates a quarter point. If the Fed really believed it could talk the dollar up, or that a small rate hike would do the trick, it would have given it a try. I believe it chose a dovish route because of a greater fear of having their hawkish stance casually disregarded.

Imagine what would happen if the Fed raised rates and the dollar kept falling? It would be like one of those horror movies where someone holds a cross up to a vampire, and the Count tosses it aside with nary a cringe.

Peter Schiff
Asia Times
Monday, July 7, 2008