(A Few) Headlines from Hell

July 17, 2009

Filed in: The Home Front, The Way We Live Now

Today the Boston Globe reported that unemployment in Massachusetts
is as bad as it’s been since September of 1992.

Coincidentally, September of 1992 was when I was laid off from the last full-time job I had, as a reviews editor at Lotus Magazine.

T and I were on vacation in the Adirondaks (no kids yet, so we could still vacay in September, which is by far the loveliest month to go anywhere in the northeast), and I called into the office to hear the news. I remember crying a little after I hung up, but mostly out of a sense of duty. I hated that job, and I sucked at it (is there a connection? who can say?). Of course, I might have cried harder if I knew then it’d take me fifteen years before I matched that annual salary again. Ah, the freelance life.

Anyhow, that slight coincidence is excuse enough to finally post what I’ve fondly been thinking of all these months as “headlines from hell.”

Here’s my thinking: Someday we’re going to look back at this economic meltdown and go, wow, remember that? Because, sooner or later, most of us will recover, though, of course (and sadly) some people’s lives will be irrecoverably ruined. Either way, as the chattering class has been telling us over and over and over again, our way of life will be changed forever.

(Related: I’m going to shoot myself, or someone else, if I read one more feature article about the bad economy inspiring people to cook their own food – we’re not talking hunting or fishing or growing their own vegetables, simply purchasing food and preparing it at home. Jeeze, people, buck up, willya? When exactly did it become okay to never cook, to be so out of it you don’t even know how to cook?)

Anyhow, I digress. In the bloggy interests of making sure I at least remember some of the worst of these times (I’m otherwise really bad with dates – with whole decades even), here’s my little list, mostly covering the first half of 2009 and the second half of 2008.

I’ve been lazy, so no hot links (or very few). If you see anything that catches your eye, I trust y’all know how to use Google to find what you want. Also, the formatting is most likely going to look like hell – sorry in advance for that, but HTML is not my strongest suit.

Let’s hope this is the worst, shall we?

State jobless rate at 17-year high
Economists still see some recovery signs
By Robert Gavin, Globe Staff | July 17, 2009

Massachusetts employers cut more than 2,000 jobs last month as the state unemployment rate jumped to its highest level in nearly 17 years, the Executive Office of Labor and Workforce Development reported yesterday.
The job losses and rise in unemployment represent a setback from May, when the state gained a surprising 5,600 jobs and the jobless rate rose modestly to 8.2 percent. In June, however, employers cut 2,300 jobs and the unemployment rate surged to 8.6 percent, the highest figure since September 1992, the state labor agency reported.

July 3, 2009
Joblessness Hits 9.5%, Deflating Recovery Hopes
By PETER S. GOODMAN

The American economy lost 467,000 more jobs in June, and the unemployment rate edged up to 9.5 percent in a sobering indication that the longest recession since the 1930s had yet to release its hold.
“The numbers are indicative of a continued, very severe recession,” said Stuart G. Hoffman, chief economist at PNC Financial Services in Pittsburgh. “There’s nothing in here to show that the economy and the market are pulling out of the grip of recession.”

345,000 U.S. Jobs Lost in May; Unemployment Rate Jumps to 9.4%
The New York Times
Friday, June 5, 2009—8:34 AM ET
-----

The economy shed 345,000 jobs in May, a sharp reduction in
the pace of job losses, the government reported on Friday in
its monthly employment report.

The unemployment rate climbed to 9.4 percent, its highest
point in a quarter-century, and economists said the job
losses were likely to pile up through the rest of the year.
But the letup in the pace of losses fanned hopes that the
plummeting job market was showing sustained signs of
stabilizing.

Bay State’s recession may outlast the nation’s
By Robert Gavin
Globe Staff / May 22, 2009

The recession in Massachusetts will last longer and run deeper than in the nation as a whole, but the state may recover more quickly than it has from earlier economic downturns, according to a new forecast.

Recession Drains Social Security and Medicare

…the Medicare fund that pays hospital bills for older Americans is expected to run out of money in 2017, two years sooner than projected last year. The Social Security trust fund will be exhausted in 2037, four years earlier than predicted.

Economy Contracted at 6.1% Annual Rate in First Quarter
The New York Times
Wednesday, April 29, 2009—8:36 AM ET
-----
The United States economy contracted at a
steeper-than-expected pace in the first quarter, hurt by
sharp declines in exports and business inventories, according
government data. Gross domestic product, which measures total
goods and services output, dropped at a 6.1 percent annual
rate, the Commerce Department said, after shrinking 6.3
percent in the fourth quarter.

Recession Anxiety Seeps Into Everyday Lives
April 9, 2009
By PAM BELLUCK

Anne Hubbard has not lost her job, house or savings, and she and her husband have always been conservative with money.

But a few months ago, Ms. Hubbard, a graphic designer in Cambridge, Mass., began having panic attacks over the economy, struggling to breathe and seeing vivid visions of “losing everything,” she said.

She “could not stop reading every single economic report,” was so “sick to my stomach I lost 12 pounds” and “was unable to function,” said Ms. Hubbard, 52, who began, for the first time, taking psychiatric medication and getting therapy.

Jobless Rate Hits 8.5%; 663,000 Jobs Lost
The New York Times
Friday, April 3, 2009—8:51 AM ET
-----
The unemployment rate reached its highest level in a
quarter-century after 663,000 jobs were lost in March, the
15th consecutive month of job losses.

WASHINGTON—The nation’s unemployment rate jumped to 8.5 percent in March, the highest since late 1983, as a wide swath of employers eliminated 663,000 jobs. It’s fresh evidence of the toll the recession has inflicted on America’s workers, and economists say there’s no relief in sight. Note: This was the year I graduated college – with an English major’s degree.

Dow Drops 254 Points; S. & P. 500 Down 3.4%
The New York Times
Monday, March 30, 2009—4:10 PM ET
-----
Stocks slumped on Monday after the Obama administration gave
ultimatums to Chrysler and General Motors to overhaul their
operations, perhaps including a bankruptcy filing, or be
denied further federal aid.

Construction jobs in Mass. at 10-year low
Deep decline has many vying for same spots
By Casey Ross, Globe Staff | March 16, 2009

651,000 Jobs Lost in February
The New York Times
Friday, March 6, 2009—8:53 AM ET
-----
The Bureau of Labor Statistics reported on Friday that the
national unemployment rate surged last month to 8.1 percent,
its highest level in 24 years.

Employment decline now worse than in 1981-82 recession
Posted by Justin Fox Friday, March 6, 2009

...job losses from this recession are now worse than in 1981-1982, which is generally considered to have been the most severe economic downturn in the U.S. since the Great Depression. Barring a more or less unimaginable turnaround in the month or two, they will be much worse.

March 7, 2009
Continuing Job Losses May Signal Broad Economic Shift
By PETER S. GOODMAN and JACK HEALY

Another 651,000 jobs disappeared from the American economy in February, the government reported Friday, as the unemployment rate soared to 8.1 percent — its highest level since 1983.
The latest grim scorecard of contraction in the American workplace largely destroyed what hopes remained for an economic recovery in the first half of this year, and added to a growing sense that 2009 is probably a lost cause.

GM auditors raise the specter of Chapter 11
By Tom Krisher, AP Auto Writer | March 5, 2009

DETROIT --General Motors Corp.’s auditors have raised “substantial doubt” about the troubled automaker’s ability to continue operations, and the company said it may have to seek bankruptcy protection if it can’t execute a huge restructuring plan.

Dow Drops Below 6,800; Lowest Close Since 1997
The New York Times
Monday, March 2, 2009—4:06 PM ET
-----
Investors’ despair about financial companies pushed Wall
Street exchanges down sharply on Monday, the first day of a
week that culminates with the unemployment report on Friday.
Monday’s decline brought the Dow Jones industrial average to
another unwanted milestone: its first drop below 7,000 since
1997. At the close, the Dow Jones industrial average declined
about 300 points, or 4.24 percent, while the Standard &
Poor’s 500-stock index declined about 34 points or 4.7
percent. The Nasdaq composite fell nearly 4 percent.

Food aid sign-ups flooding Mass.
Requests rise 20% in year; applicants may wait weeks
By David Abel, Globe Staff | February 26, 2009

Over the past year, the number of Massachusetts residents receiving food stamps has surged 20 percent, bringing the total to more than 600,000 and taxing the state’s ability to serve those in need, welfare officials say.

Fed Offers Bleak Economic Outlook
The New York Times
Wednesday, February 18, 2009—2:57 PM ET
-----
The Federal Reserve cut its economic outlook for 2009 on
Wednesday and warned that the United States economy would
face an “unusually gradual and prolonged” period of recovery
as the country struggles to climb out of a deep global
downturn.

Dow Drops Nearly 300 Points; S.&P. Down 4.5%
The New York Times
Tuesday, February 17, 2009—4:11 PM ET
-----
The Dow Jones industrial average closed down 297.81 points,
or 3.7 percent, to 7,552.60, while the broader Standard &
Poor’s 500-stock index dropped 37.67 points, or 4.5 percent,
to 789.17. The Nasdaq fell 4.1 percent to 1,470.66.

February 11, 2009
Stocks Fall Sharply as New Bailout Plan Emerges
By JACK HEALY

For jittery investors, the government’s latest plan to stabilize the financial and credit markets with up to $2 trillion in public and private funds provided cold comfort.
Stock prices tumbled on Tuesday after Treasury Secretary Timothy F. Geithner unveiled the government’s latest tactics to address the troubled banking system. Primary among those was an expanded efforts ease consumer and commercial credit and a new program to buy up hard-to-sell assets that have bogged down banks.

February 7, 2009
Economy Shed 598,000 Jobs in January
By EDMUND L. ANDREWS

WASHINGTON — The United States lost almost 600,000 jobs last month, and the unemployment rate rose to 7.6 percent, its highest level in more than 16 years, the Labor Department said Friday.
It was the biggest monthly job loss since the economy tipped into a recession more than a year ago, and it was even worse than most forecasters had been predicting.

Punxsutawney Phil sees shadow; winter to continue
Staff
AP News
Feb 02, 2009 09:22 EST

Punxsutawney Phil predicts 6 more weeks of winter in the shadow of Steelers celebration
The world’s most famous groundhog saw his shadow Monday morning, predicting that this already long winter will last for six more weeks.

January 31, 2009
Steep Slide in U.S. Economy as Unsold Goods Pile Up
By JACK HEALY and LOUIS UCHITELLE

The United States economy shrank at its fastest pace in a quarter-century from October through December, the government reported on Friday, as consumer spending and business investment collapsed, signaling more economic contraction in the months ahead.

Iceland’s Government Collapses
By THE ASSOCIATED PRESS
Filed at 10:27 a.m. ET

REYKJAVIK, Iceland (AP)—Iceland’s coalition government collapsed Monday, leaving the island nation in political turmoil amid a financial crisis that has pummeled its economy and required an international bailout to keep the country afloat.

January 23, 2009
Microsoft Plans to Lay Off 5,000 Workers
By ASHLEE VANCE

Microsoft stunned its investors on Thursday, announcing the first broad layoffs in its history and offering a pessimistic forecast for the second half of its fiscal year.

January 10, 2009
Unemployment Hits 7.2%, 16-Year High
By LOUIS UCHITELLE

Stocks Slide on Earnings Gloom; Crude Oil Down 12%
The New York Times
Wednesday, January 7, 2009—4:08 PM ET
-----
Bleak outlooks from Time Warner, Intel and Alcoa along with
more concerns about rising unemployment pushed shares sharply
lower Wednesday. The Standard & Poor’s 500-stock index and
the Nasdaq were both down about 3 percent. The Dow Jones
industrial average lost about 2.7 percent. As stocks tumbled,
crude oil prices fell to $42.63 a barrel, down $5.95.

January 3, 2009
Manufacturing Reports Show Depth of Global Downturn
By BETTINA WASSENER

From Australia, to Asia and Europe and the United States on Wednesday, the message in the latest economic reports was clear: manufacturing continued to slump amid the worst slowdown since the Great Depression.

December 31, 2008
Home Prices Fell at Sharper Pace in October
By JACK HEALY

Home values in America’s 20 largest metropolitan areas dropped at a record pace in October as the fallout from the financial collapse reverberated through the housing market, according to data released Tuesday.

Pentagon Report Confirms Failure Of Iraq Reconstruction Effort
By Zachary Roth - December 15, 2008, 11:09AM

The $10 trillion hangover:
Paying the price for eight years of Bush
By Joseph E. Stiglitz and Linda J. Bilmes

When President Bush took office, the national debt was $5.7 trillion.  Now it is $10.6 trillion—and Congress voted in October to raise the debt ceiling to $11.3 trillion, the seventh such hike since President Bush to office and the second since last July.  If, as is quite likely, we reach the new ceiling by January 20, the outgoing President will have managed to amass more debt than all of his predecessors combined.

States’ Funds for Jobless Are Drying Up
Published: December 14, 2008

Bank of America to cut up to 35,000 jobs over three years
By Alistair Barr
Last update: 4:30 p.m. EST Dec. 11, 2008

Study Finds White-Collar Unemployment Spreading
By Patrick McGeehan

Updated, 3:55 p.m. | Well-paid professionals like lawyers and architects are joining the rapidly expanding unemployment rolls in New York City, according to a new unemployment study.

December 6, 2008
Jobless Rate Soars to 6.7% in November

December 3, 2008
College May Become Unaffordable for Most in U.S.

Stocks Drop Sharply and Credit Markets Seize Up
Nov. 21, 2008 NYT

Jobless Claims Reach a 16-Year High
By THE ASSOCIATED PRESS
Published: November 20, 2008

Colombian VP Says Cocaine Destroying Rain Forests
By THE ASSOCIATED PRESS
Published: November 19, 2008

Crisis Spreads to Tech Sector as Sun Plans to Cut Work Force
NYT 11/13/08

A Record Decline in October’s Retail Sales
NYT 11/14/08

Surging costs of groceries hit home
Bread, eggs, milk prices up sharply
By Robert Gavin, Globe Staff | March 9, 2008

American families, already pinched by soaring energy costs, are taking another big hit to household budgets as food prices increase at the fastest rate since 1990.

Downturn Tests The Fed’s Ability to Avert a Crisis
Economy is hobbled further as lending and hiring cool
March 9, 2008 New York Times

Mortgage Crisis Topples Countrywide
[Oct 5, 2007.]

Countrywide Financial Corporation has become the latest casualty of the national housing crisis.

Established in the late ‘60s, Countrywide has now had to embark on an aggressive plan just to survive. That’s included massive layoffs, billions of dollars in borrowing, and a complete re-vamping of its loan procedures. In fact, subprime loans, which involve lending to individuals with troubled credit histories, have been all but eliminated.