Delaware is the only state in the union still at risk of recession, according to a new report from Moody's Analytics.
Forty-nine of 50 United States are now out of danger of falling back into recession, according to a report issued Tuesday by Moody’s Analytics.
Strong private-sector employment, the growing energy market, and health care increases have driven states out of the recession mode, according to the report.
Moody’s Analytics, which evaluates state and metropolitan economies, pulled Alabama, Illinois and Wisconsin out of the risk category and placed them in its recovery status, leaving only the State of Delaware in its “at risk of recession” category.
"The labor market recoveries in those three states were lagging behind," Moody's Analytics Associate Economist Brent Campbell told Reuters.
According to Moody’s, Alabama has been lifted by an increase in private-sector jobs, while Chicago’s financial services sector has grown and pulled Illinois back into a more stable atmosphere. Wisconsin has benefitted from an increase in health care consumption, which Campbell said has also helped other states’ economies, especially those with older populations.
Campbell said Delaware’s financial state continues to improve and expects the xxx state to move into the recovery status soon. According to the federal labor statistics, Delaware’s jobless rate was identical to the national rate of 7.4 percent, while Illinois’ remained one of the highest in the nation at 9.2 percent. Alabama is at 6.3 percent and Wisconsin is at 6.8 percent.
In a Spectrem study of wealthy investors, concern over the prolonged economic downturn actually grew from 2012 to 2013, from 81 to 86 percent of Mass Affluent investors with a net worth of between $100,000 and $1 million not including primary residence. It was, in fact, their No. 1 concern, ahead of political gridlock and the national debt.
Even among the Ultra High Net Worth investors with a net worth between $5 million and $25 million, concern over the economic downturn was at 82 percent.
Moody’s also placed seven states in its “economic expansion’’ category, and many of them were placed there due to an increase in natural gas production. The seven states are Alaska, Nebraska, North Dakota, Oklahoma, South Dakota, Texas and Utah. Campbell gave upbeat reports on other western states, including California and Washington, thanks to improvements in the technology sector performance.
“The West and the South have led the recovery,’’ Campbell said. “The Northeast is probably the farthest behind.”
Kent McDill is a staff writer for Millionaire Corner. McDill spent 30 years as a sports writer, working for United Press International and the Daily Herald of Arlington Heights, Ill. From 1988-1999, he covered the Chicago Bulls for the Daily Herald, traveling with them every day through the nine-month season. He also covered the Bulls for UPI from 1985-88, and currently covers the team for www.nba.com. He has written two books on the Bulls, including the new title “100 Things Bulls Fans Should Know And Do Before They Die’, published by Triumph Books. In August 2013, his new book “100 Things Bears Fans Should Know And Do Before They Die” gets published.
In 2008, he resigned from the Herald and became a freelance writer. The Herald hired him to write business features and speeches for the Daily Herald Business Conferences and Awards presentations.
McDill also writes a monthly parenting column for the Herald’s Suburban Parent magazine.
McDill is the father of four children, and an active fan of soccer, Jimmy Buffett and all things Disney.