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Because the large metropolis of Charlotte, NC is near the state border, many who work in that financial industry city actually live across the state line in South Carolina. For example, the small city of Rock Hill, SC is considered a suburb of Charlotte.

If residents of Rock Hill who work in Charlotte lose their jobs, then their unemployment is recorded in their South Carolina state of residence.

Another way that unemployment in one of the states can affect the other is by decline in vacationing. Many people may choose to vacation nearby areas for their vacation, meaning that much Myrtle Beach tourism comes from North Carolina residents and many visitors of Surf City, NC are South Carolina residents. Unemployment can prevent folks from leisure travel, however; as a result, high unemployment in one state can affect vacation business in the other. A drop in vacation business can create unemployment in that trade, too.

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Q: What has unemployment in South Carolina have to do with North Carolina?
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