North Carolina economic outlook
N.C. State University economist Mike Walden recently posted his outlook for North Carolina’s economy in 2013. Is he upbeat?
“So, actually the most upbeat … I’ve been in several years To give you some numbers: I’m looking for the state to add 68,000 non-farm payroll jobs next year, 2013. That compares to about 40,000 in 2012, so a significant increase there.
“And I’m upbeat, I think, for three major reasons: One, we’re beginning to see a rebound in the construction sector. We’re beginning to see more of a rebound in manufacturing. We haven’t really seen those sectors come back in terms of jobs yet in the North Carolina economy – especially construction jobs. So, if we get construction coming back, I think that’ll be a big boost to our jobs. “Secondly, North Carolina has a pattern that we really get hit hard during recessions. We’re sort of slow coming out of the gate during the economic recovery, then we pick up steam about in the third or fourth year of the recovery, and we’re right at that sweet spot right now. So I think history’s on our side – that we should see a little better rebound in jobs in the state in 2013.
“And then lastly, when businesses are looking around to where to expand where to locate, one of the things they look at is labor productivity, (which) simply means how much output do they get for each worker. And we rank very, very high, North Carolina does in labor productivity. So, I think that will be a big magnet for business expansion and job expansion in 2013.”
Category: Economic Perspective