THE VIRGINIAN-PILOT
Copyright (c) 1996, Landmark Communications, Inc.
DATE: Saturday, May 11, 1996 TAG: 9605110307
SECTION: BUSINESS PAGE: D1 EDITION: FINAL
SOURCE: BY MYLENE MANGALINDAN, STAFF WRITER
LENGTH: Short : 40 lines
March usually ushers in spring and vibrance.
But this year it only introduced another month of sluggishness in Hampton Roads' economy.
The biggest culprit was little job growth across many industries. Declines in manufacturing and government jobs led the falling local economic index.
The Hampton Roads Economic Performance Index fell to 105.1 in March, down from 105.2 in February. The index is built from seasonally adjusted jobs data that's weighted to reflect average wages. It's constructed from a baseline of information from 1991-93.
Some job sectors improved in March, such as transportation, utilities and communications. But declines in manufacturing and government were larger and more significant.
Construction job growth also sputtered, possibly responding to higher long-term interest rates, said David Garraty, an economist and business professor at Virginia Wesleyan College who administers the index. The prospect of new businesses opening and expanding their operations in the coming months may help improve the Hampton Roads employment picture, he said.
In contrast to Hampton Roads, Virginia's economy improved in March. The Virginia Economic Performance Index rose to 108.8, up from 108.5 in February.
Although stagnant job growth in manufacturing and government also dragged down the state's economic activity, the declines had a smaller impact statewide than they did locally. It also experienced gains in services that offset some losses.
KEYWORDS: HAMPTON ROADS ECONOMY by CNB