Despite signs that the economy is beginning to heal, last month the joblessness rate rose in 26 states, the Labor Department reports. Especially alarming, California, Nevada, Rhode Island, and Georgia all saw their highest unemployment rates since records began in 1976. California was hit particularly hard, as the joblessness rate unexpectedly rose to 11.9 percent from 11.6 percent. The state shed a total 35,800 jobs last month—more than any other state—and it's lost 760,000 jobs over the last year. The figures support economists' belief that the national unemployment rate will reach 10 percent by early 2010.