Terrible job report

This is much worse than expected. Employers cut 533,000 jobs in November. That’s the most in 34 years. The unemployment rate is to 6.7%, a 15 year high. And here’s the figure to really focus on: The broadest measure of unemployment–the total unemployed, plus all marginally attached workers, plus total employed part time for economic reasons–as a percent of the civilian is at an astounding 12.5%.

The job losses were widespread. The few brightspots–which has been true throughout the recession–is government, education and health services.

Some quick implications: The opposition to a bailout of Detroit will weaken.

The size of the fiscal stimulus plan when the new Administration comes to power has gone up.

President-elect Obama is having his first hundred days before he is sworn in. By the time late January rolls around the plan will be in place.