When should I cut my loses?

I've been applying to jobs for about 4 months now and while I have gone on several interviews I can never seem to get over that hump and get hired. It's getting to the point where I see interviews as just another waste of time. My question is thus: at what point should I realize that nobody in town or even the state is going to want to hire me and just give up? I'm getting completely exhausted filling out applications that I know are gonna go nowhere. Maybe being homeless isn't all that bad.

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