Newspaper Page Text
Page 14 NOVEMBER 7,2010 StarNews www.starnewsga.com
ECNOMYfrom frontpage
majority of total spending, Regalia said, is
our chief economic problem: a slow recov
ery from the recent recession. He observed
that in the past the economy recovered faster
from recessions than it is now. He believes
that housing, which accounts for the majority
of most people’s wealth, “is the big buga
boo”. The economy performing below its
potential, he said, is responsible for the
unemployment rate remaining at a recession
ary level. Complete recovery, he believes,
will take several years. (A detailed account
of his extensive commentary may be found
online at www.stamewsga.com)
Smith agreed with Regalia that negative
housing market effects are rippling through
the nation’s economy and will continue to do
so for years. He observed that there are some
small signs of improvement in the economy.
For example, the Conference Board’s index
of the nation’s leading economic indicators
rose in August. There are only a few signs of
improvement in the West Georgia region’s
counties: Carroll, Coweta, Douglas,
Haralson, and Paulding.
Real estate is still in decline. Foreclosures
are rising. In Carroll County foreclosures
through October 2010 numbered 1,951. In
2009, they numbered only 1,588. The ending
of homeowner tax incentives and difficult
credit market conditions have slowed down
the absorption of foreclosures. The high level
of business and residential vacancies is
another problem. Sufficient lending for a fast
recovery isn’t present, Smith said. However,
the number of permits for new housing
exceeds the number issued in 2009. The
increase has been greatest in Coweta County.
Smith believes that real estate will remain a
recent numbers of job losses in the goods
producing sector; new businesses in Douglas
County, AT&T, Medline, and Tyco; and an
increase in temporary employment in the
region.
Smith expects the
level of govern
ments’ revenue to
experienced ““““'v' continue to be a
declines in employ- claims in the region, which suggests problem.
ment in every major a turnaround has begun, the Smit , h re ^ eale <j
industry sector: ° „ data that showed
goods producing, outlook for 2011 iSn t TOSy • that health care
service providing, employment isn’t,
and government, from their levels in the first as some believe, recession proof. Although
huge drag on the economy of the West
. Georgia region, and that foreclosures will
continue to move into “nicer neighborhoods
and hit conventional loans”.
Like the state as a whole, all the West
Georgia region’s
counties in the first ... despite a reduction in the
quarter of 2010 number of new unemployment
quarter in 2009. The only employment gains
experienced in Carroll County were in the
agriculture, forestry, fishing and hunting;
administration, support, waste management,
remediation; and health care and social serv
ices sectors. Encouraging, were smaller
regional unemployment rates haven’t
improved much, they have stabilized. He
believes that, despite a reduction in the num
ber of new unemployment claims in the
region, which suggests that a turnaround has
begun, the outlook for 2011 “isn’t rosy”.
In the West Georgia region, employment
in manufacturing has been hit hard, but
losses are slowing. During the past year, the
region .lost 282 firms. Construction firms
accounted for 134 of these. The level of total
employment in Carroll County in the first
quarter of 2010 declined by 3.9 percent from
its level in the first quarter of 2009. The
decline in government employment was 6.3
percent.
Each of the 359 who attended this event
was given a copy of the 63 page “West
Georgia 2010 Regional Outlook” authored
by West Georgia economists David J. Boldt,
Mary M. Kasis, and William J. Smith and
student research assistant, Linda Becham.
Through an email addressed to
cber@westga.edu, a subscription to the
“West Georgia Regional Update” published
by the Department of Economics can be
obtained.
CARROLL UNEMPLOYMENT RATE
CARROLL UNEMPLOYMENT CLAIMS
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