We'll give you the good news first: The recession is officially over and the economy will continue to grow according to the latest UCLA Anderson Forecast. The bad news? Job losses in California will reach a record high of nearly 13 percent by the end of the month and that figure won't get back to single digits until 2012.
And while the Forecast says that the nation is on a “modest growth path” during this economic recovery, the Golden State — not so much: “The economy will begin to pick up slightly in the beginning of 2011, and by the middle of 2011, will begin to grow at more normal levels,” states UCLA Anderson senior economist Jerry Nickelsburg.
The Forecast says that “the damage” is “mostly done” when it comes to the recession, however.
And, in a strange upside, Anderson forecasters say the lack of fortitude among California legislators to enact deeper budget cuts means than workers will keep their paychecks during the worst of the unemployment crisis.
The Anderson forecast states that Gross Domestic Product growth will be at 2 percent next year and 3 percent in 2011.