Yesterday, the Dallas Regional Chamber hosted Dr. Ray Perryman, as he kicked off his annual tour presenting his economic outlook for the coming year.
His outlook for our region was what I would say cautiously optimistic. Dr. Perryman pointed out that by most measures an economic recovery is now under way. The nation’s Gross Domestic Product (GDP) grew in the third quarter by 3.5%, unofficially ending the recession. We are seeing signs of changing inventories and manufacturers are showing a willingness to replenish low supplies in anticipation of a recovery. But we still have tremendous hurdles to face, and as Dr. Perryman put it, “there’s no free lunch for all the government spending.” And expect to see more stimulus, but in little pieces. Wages will be stable for a while, but slightly suppressed. In the end, Dr. Perryman predicted we should expect to see job growth return in the late spring or summer of 2010, albeit a slow growth. And the Tech industry will likely lead this recovery.
What I saw were a lot of heads nodding in agreement that things are beginning to look up. We have the things in place to have a significant recovery including maintaining a strong presence in the fundamental industry sectors, and continuing to foster strong economic development. We have already seen signs of recovery, including the recent announcement that Texas Instruments was finally opening its huge chip manufacturing plant in Richardson. Here at the Chamber, prospect activity is beginning to pick up as well, as companies from California to Florida are testing the waters for possible relocations and expansions in the Dallas/Fort Worth area.
Finally, Perryman pointed out that the Texas is adding an estimated 1,000 persons a day, with many of them coming to the Dallas/Fort Worth region! Of course this shows what many of us already know. That this is a great place to live and do business. And relative to the rest of the country, this area is widely recognized, and will continue to be, one the top performing metro areas in the country.
