Friday, May 21, 2010

"32 States Have Borrowed from the Treasury to Make Unemployment Payments; California Has Borrowed $7 Billion"

From EconomicPolicyJournal: has learned that 32 states have run out funds to make unemployment payments and that the U.S Treasury has been supplying these states with funds so that they can make their payments to the unemployed. In some cases, states have borrowed billions. In total as of May 20, the total balance outstanding by 32 states (and the Virgin Islands) amounts to $37.8 billion.

The state of California has borrowed $6.9 billion. Michigan has borrowed $3.9 billion, Illinois $2.2 billion.

Below is the full list...MORE
And it won't be repaid any time soon.
From Calculated Risk:
April State Unemployment Rates: California and Nevada at series highs