The “third” estimate for third quarter 2013 shows U.S. real gross domestic product increasing at an annualized rate of 4.1 percent, an improvement over the 3.6 percent growth reported in the “second” estimate. Higher levels of personal consumption expenditures and nonresidential fixed investment were responsible for the upward revision. Residential investment, net exports, and state and local government spending also made positive contributions. Federal government spending made negative contributions. Housing starts were up substantially year-over-year, and housing prices continued to rise. Auto/truck sales and retail sales were also up year-over-year. Consumer confidence and consumer sentiment rose for the most recent data.
The Nevada economy evidenced mostly positive signals for the most recent data. Seasonally adjusted, statewide employment increased by 9,500 jobs from October to December, and it was up 1.8 percent year-over-year. Taxable sales continued to show strong growth, up 6.2 percent from last year. Total air passengers were up 0.7 percent over the same time period. Gaming revenue also experienced gains for the month, up 11.9 percent from November 2012.
For Clark County, seasonally adjusted employment rose from October to November by 4,900 jobs and was up 2.4 percent year-over-year. Total passengers at McCarran Airport were up 1.1 percent from a year earlier. November visitor volume was up 4.4 percent from a year ago. Gaming revenue was 12.7 percent higher in November than a year earlier. Clark County’s taxable sales for October were 8.3 percent above those from a year earlier. Residential construction permits increased from September to October. Commercial construction permits remained at a low level.
The most recent data show mostly positive signals for Washoe County as well. Seasonally adjusted, Reno-Sparks’ employment increased by 1,000 jobs from October to November. Total employment is up from a year ago, by 0.9 percent. The seasonally adjusted Reno-Sparks’ unemployment rate fell from 9.2 percent to 9.0 percent. Compared to a year earlier, November visitor volume was up 9.6 percent. Total air passengers were down 5.3 percent from October 2012. Gaming revenues for November were up 14.7 percent from a year earlier. Residential construction permits fell in October, while commercial construction permits remained low.
The U.S. economy experienced a pickup in growth for third quarter 2013. A weak national economy is affecting Nevada in the form of slowing growth in tourism. Despite the slowing tourism, taxable sales continue to make gains at the state level. Nevada’s employment is also showing relatively stable year-over-year gains.
Ryan T. Kennelly, Economic Analyst
UNLV Center for Business and Economic Research