National Economic Outlook - October 2015
Written By:
Ingo Winzer, President
Ingo Winzer, President
Local Market Monitor
One
of the main drivers of the economy in the past decade has been the healthcare sector, which now employs
one in every eight workers. This is partly because of advances in medical care,
partly because of the aging of baby boomers, and partly because more people
have health insurance. In many communities where manufacturing was once
dominant, healthcare is now the anchor of the economy.
Healthcare
jobs require more skill and are better paid than in the past, with hourly wages
of $24 that equal those in business services and finance, and are higher than
those in manufacturing. Local markets
with a growing healthcare sector will have steadily higher demand for homes and
apartments.
The
number of jobs in September was up 1.9 percent from last year, a slight slowing from previous months.
The main culprit was manufacturing,
where jobs increased just 0.7 percent - compared to 1.6 percent earlier this
year. Jobs were higher by 2 percent in retail, 3.1 percent in business
services, 3.1 percent in healthcare, and 3.2 percent at restaurants. Government
jobs increased 0.8 percent, mainly at the state and local levels.
The
slowdown in manufacturing was concentrated in metal products and machinery,
probably linked to lower worldwide demand for mining and construction machinery. Jobs in the auto and aircraft
manufacturing sector were up a solid 2.7 percent.
