California, New York Will Soon Have Lower Unemployment Rates Than Texas


     In 2021, Republican governors made a big deal about how red states were the ones with the lower unemployment rates. The fact of the matter is, while states have made smart moves in some cases to bring down unemployment, nearly 45 states are on track to see record low unemployment rates this year or next year. That's the American Rescue Plan Act at work. 

     The other fact that they conveniently left out is that there's a reason Republican states saw unemployment rates come down faster: their industries were overwhelmingly less impacted by the COVID-19 pandemic. New York has Broadway, California has Hollywood, Nevada has Las Vegas, etc. States like Wyoming and Idaho have, well, cows.

     After the pandemic, Michigan saw its unemployment rate hit the highest rate any state has ever seen in modern history: well over 22 percent. States like those I previously mentioned, Wyoming and Idaho, saw theirs hit roughly eight percent. Michigan's story in particular is one of a turnaround: its unemployment rate, while still above the national average, fell by 80 percent to 4.3 percent. 

     The thing is, Republican states having lower unemployment rates isn't even the case anymore. The state of Minnesota has a historic low for unemployment: just two percent, the second-lowest rate in the country. Quite close behind is Kansas, run by Democrat Laura Kelly, which has its lowest unemployment rate in history as well as its third record year in a row for business development and a historic budget surplus, full funding for its schools, a repealed food tax, and so much more. Governor Andy Beshear of Kentucky has given the state its lowest unemployment rate and greatest overall economic prosperity in history. Louisiana, under Governor John Bel Edwards, is on track to see an unemployment rate below four percent for the first time in its history, much like Kentucky. Wisconsin saw record low unemployment and is nearing a full return to employment. Illinois, as its unemployment rate continues to decline, is reducing the enormous deficit and unstable credit created by the last Republican governor that gave it one of the shakiest economies in the country.

     Then there's California and New York. These two states were a lightning rod for conservative claims that COVID precautions were job killers. California has been the prime driver of economic growth since January 2021, with its unemployment rate falling to 4.3 percent last month. Its record for lowest unemployment rate is four percent, which means it could fall into line with the rest of the country as soon as this year. While it is true that Florida and Texas have both made up all the JOBS that were lost, California has recovered nearly 95 percent of lost jobs, setting it up for not only a full recovery but for its best economy ever this autumn. New York is a little shakier, but still making progress. New York City's unemployment rate is 6.2 percent while it has dropped to 2.9 percent outside of the city, resulting in a statewide unemployment rate of 4.4 percent. It too, has regained roughly 95 percent of jobs lost during the pandemic, while its lowest unemployment rate was 3.7 percent.

     Texas, meanwhile, had an unemployment rate of 4.2 percent. With its record low unemployment rate at 3.2 percent and its unemployment rate remaining relatively stagnant for months while those in California and New York continue large declines, it appears that California and New York will soon recover all jobs lost to the pandemic, and it also appears that California and New York will soon have lower unemployment rates than Texas.

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