Unemployment Lowest in the Rural Heartland
By Bob Morris | 04/17/2012 | Economy, States | 3 Comments
Data: Bureau of Labor Statistics
Jobseekers might consider moving to fly-over states instead of perhaps making dismissive comments about them while on transcontinental flights. With a few exceptions, the lowest unemployment rates are in the heartland. Those looking for jobs there should also get ready for living in the country because the bulk of such jobs are in rural and exurban areas.
This certainly is the opposite of the commonly accepted knowledge that big coastal cities are the primary drivers of employment and job growth. While it’s true that Silicon Valley is currently booming, many other urban areas on the coasts aren’t. Meanwhile, North Dakota has the lowest unemployment rate of any state at a mere 3.1%, followed by Nebraska with 4.0% and South Dakota at 4.3%. Also in the heartland and in the top ten are Iowa, Wyoming, Minnesota, Utah, and Oklahoma.
While comparisons can be tricky, these states have several characteristics in common. They are heavily agricultural and have large rural areas. Regardless of what the economy is doing, people still need to eat. Also, they were less damaged by the real estate crash because home prices didn’t skyrocket as much. Thus, there was less carnage when everything cratered. These states also tend to have lower tax taxes than the norm and a lower cost of living.
But another factor, and this will make environmentalist’s heads explode, is these states are booming because of huge amounts of natural gas and oil drilling, including fracking and shale oil. Some parts of Wyoming and North Dakota are practically throwing money at anyone who wants to work 60 hours a week in oil production. Sure, it’s dirty, dangerous work, but it pays well and the overtime is awesome. Some might opine this beats going to college and going $50,000 in debt. But if you go to North Dakota, bring your own trailer to sleep in because some towns literally have no available housing.
Also in the top ten states with lowest unemployment are Virginia, Vermont, and New Hampshire. Virginia is next door to Washington DC and the federal government is hiring. Thus, many Virginia jobs are probably related to the government. Vermont and New Hampshire have substantial employment in agriculture, particularly dairy, and get substantial revenue from tourism too.
All of this might help those looking for jobs. Maybe you don’t have to be in a major metro area to find work.
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3 Comments
Heather Rogers
04.17.2012
@heatherrogers
So the old question comes up again… Which is better? More jobs or environmental protection? When it comes to exploitation of the environment I couldn’t care less how high unemployment is. We shouldn’t use job creation as one of the justifications for fracking, its horrible for the environment and has major long term effects. And yes I am a conservative Republican.
Bob Morris
04.17.2012
@Bob_Morris
I agree, fracking is hideous and the whole thing is shortsighted. I’m not advocating it, just saying that’s where the jobs are. Young married men are flocking there by the thousands, leaving families at home. Many are trying to save their homes.
It would be far better if they were building wind farms!
PS I once worked in the West Texas oil fields. It is indeed dirty, nasty, dangerous work. Mostly, you just work and sleep.
Heather Rogers
04.18.2012
@heatherrogers
And you’re absolutely right. The men are going there because they have no other choice. They have to make money to support their families. It simply bothers me (like it bothers many) that government subsidies for renewable energy are nowhere near the subsidies given to oil and gas. It kills me that parts of this beautiful country are being destroyed when, with reallocation of money, wind and solar farms could be developed. Creating jobs and harvesting an endless supply of energy. I know this is an old debate, I just wonder when real progress toward renewable is finally going to begin.