First, there was the WGA strike. Now, it looks like after July 8, we’ll find out if the actors (SAG) go on strike.
This town took a huge economic hit November through February when the writers walked. I don’t think LA has bounced back completely since then, but we’ll take another huge hit if actors walk. This, combined with the disproportionate subprime mortgage meltdown in Southern California (both the home lending businesses based here and the vanishing housing appreciation), has meant a really really weak economy in Los Angeles.