California's Unemployment Rate Hits 12-Percent

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(Sacramento, CA)
Friday, September 18, 2009
California’s unemployment rate hit a new milestone last month as it passed the Twelve-Percent mark. 

But, an analyst says even though more people are looking for work, the state is showing the earliest signs of economic recovery. 

Capital Public Radio's Steve Shadley reports...

California’s unemployment rate climbed to Twelve-Point-Two Percent in August. 

That’s up from Eleven-Point-Nine-Percent in July and well above last month’s national unemployment rate of nearly Ten-Percent. 

Despite all that, state officials say home construction, health care and education created more jobs than they lost last month. 

And, there are other positives...according to Jerry Nickelburg, Senior Economist with UCLA’s Anderson Forecast. He says economic expansion overseas is helping to jump start California’s tourism industry...

Nickelburg  “Japan is now out of a recession. China is growing at more rapid rates. And, so is Germany and France, they’ve both come out of a recession. So, we should see some impetus for more foreign tourism...” 

Nickelburg says California exports also are increasing and new home sales are rising again, especially along the coast. 

He says the next big test will be the upcoming holiday shopping season indicating whether Californians have

regained their consumer confidence.