Explaining Southern California's economy

Today's California economy, brought to you be the letter 'L'

The UCLA Anderson Forecast is out for the third quarter of 2011 and through 2013. The story for the country as a whole is an "L" shaped recovery from the Great Recession — which basically feels like no recovery at all. For California, the story is the same — except that the eventual recovery will probably be even more sluggish

The national economy is limping along at near-stall-speed: barely growing, with a prediction for 0.9 percent GDP growth through early 2012; and creating jobs at far to low a rate to lower the employment rate below it's current 9.1 percent. In fact, the Anderson Forecast is predicting unemployment will go up in the short term, to 9.5 percent, before falling to a still-mortifying 8.6 through 2013.

You look at those numbers say "Oh, man, what are we gonna do?" Then you look at the California outlook and you get really depressed. Our growth rate is at 0.7 percent, and our unemployment rate stays in double-digits until 2014. Plus, the state is beginning to split into two distinct economic geographies, with the coastal regions mounting a modest recovery while the inland regions go from stall to, potentially, stagnation.