This report examines education gaps and industry demand in the nation's 100 largest metropolitan areas. Metropolitan areas are a natural unit of analysis given that they offer the best approximation of a regional labor market. Moreover, the wide variation in metropolitan area economic performance, as documented by the Brookings MetroMonitor series, provides a basis for analyzing the factors that explain that variation. After explaining the methodology, the report examines in turn the contribution of education gaps and weak industry demand to levels and recent changes in metropolitan unemployment rates. It concludes with a discussion of the implications of these findings for public policy. The 100 Largest Metropolitan Areas Sorted by Overall Rank of Education Matching and Predicted Industry Growth the Recession are appended. [Additional financial support was also provided by Metropolitan Leadership Council.] (Contains 5 figures, 5 tables and 38 endnotes.)