While we're waiting for the latest unemployment comparisons for September, let's take a look at Oregon's current strategic position. Oregon continues to battle for top place in the economic maelstrom, sparring with determined states like Michigan, Rhode Island, and Nevada. The beaver state stands to lose ground this month as the unemployment rate actually dropped down to 11.5% from 12.2% in August. This could mean that Portland may lose its appeal among the culurally savvy in favor of more destitute places like Detroit. The days of graduating from college, landing a salaried job and becoming a tax-paying and productive member of the middle classes are over buddy. The trend is going the other direction. Get a tent and head for the nearest tent city. There's enough culture in the bottom of a Pabst can to ride out the year over there.
There may be hope for Oregon yet. Although the unemployment rate dropped last month, we lost even more jobs at the same time. That means more people have given up their job search altogether and have joined the ranks of the defeated. So the unemployment rate only went down because the number of people who have forfeited any chance of finding a job have actually increased. And yet the young and the hip keep pouring into the state, abandoning all reason only to fall into the trap of Oregon, devourer of jobs! The price to enter the cultural elite is steep.
So the effect of all this is that long-term unemployment will increase. Some economists argue that long-term unemployment, defined as those who have been unemployed for over six months, may be here to stay. This will create havoc for the economy, as the long-term unemployed often leave the workforce permanently as they become unemployable. The longer a person is out of work, the harder it is for them to land a job. They become desocialized. They become reclusive and depressed. They have a hard time talking about themselves and feel the shame of being unproductive and unable to participate fully in society. This does not make for an attractive job candidate.
Millions of people willing to work but unable to find jobs and millions more unable to find full-time work or work that they are trained and qualified for costs the American economy billions of dollars every year. As the long-term unemployed slide further into the abyss of jobless America, with the prospect of never again contributing to the economy, this country stands to lose its economic competitiveness. Fewer jobs means America will be a less-attractive place for the most talented, ambitious, and innovative. Given the international unemployment numbers I wrote about in my last article, what person in their right mind would want to stay here when there's plenty of work in Thailand? The last time I checked, their unemployment rate is less than 2% and you can feel good about yourself making only $500 a month. It may be the best thing you can do to reduce your carbon footprint.