While the District lost jobs during the 1970-1971 and 1974-1975 recessions, most manufacturing jobs were subsequently regained. But the District lost far more jobs—over 900,000—from 1979 to 1983 and only a small fraction have since been recovered. That severe recessionary period set the stage for extensive and ongoing industrial restructuring. It also annihilated many manufacturing jobs. Because manufacturing jobs generally are higher paid than other jobs, their disappearance has heavily contributed to the Midwest’s per capita income drop.