Tuesday, August 15, 2006

Connecticut Economic Outlook Mixed

DeStefano Attacks Rell over Job Numbers

The DeStefano campaign today attacked Gov. Rell over job figures in a new report on the Connecticut economy released by the Connecticut Center for Economic Analysis:
Saying that “Governor Rell offers false optimism, but no new ideas or leadership to stop Connecticut’s worsening jobs loss,” John DeStefano, Democratic candidate for Governor, today responded to the Connecticut Center for Economic Analysis’s (CCEA) new Economic Outlook concerning the uncertain future of Connecticut’s job growth.
...
The report predicts that Connecticut’s anemic job growth shows no signs of improving and in fact will get worse over the new few years. According to the Outlook, economic growth, wages and job growth will all decline between now and 2008. Connecticut’s job growth rate, already about half the national average, will drop again in 2006, 2007 and 2008.

Fred Carstensen, director of the CCEA, stressed that “State leaders must strengthen investments” in developing industries and educational programs to create jobs. (DeStefano)

The report itself offers a mixed view of the Connecticut economy:
...The CCEA Outlook anticipates real growth continuing through 2008, at modestly lowered rates, falling from 3.5% in 2006 to 2.8% in 2007 and 2.6% in 2008...

Following the national pattern, the CCEA Outlook sees growth in employment lagging growth in output as increasing productivity continues to undermine the need to hire significantly more employees. Even so, the CCEA Outlook forecasts Connecticut employment continuing modest growth, falling from the 0.8% rate of 2005 to 0.6% in 2006, 0.5% in 2007 and 0.4% in 2006... The picture that the CCEA Outlook provides emphasizes the continuing challenge to Connecticut of building its competitiveness so its economy will generate sufficient jobs for its own citizens. (CCEA)

The report stresses that, while the economy isn't exactly booming, it is healthier than it was in 2003, when there was no economic growth at all.

Still, the picture painted is that of a listless, albeit not lifeless, economy. By 2008, the report forecasts, Connecticut employment will have regained the record levels of 2001, although growth continues to be slow. The report also emphasizes the ties Connecticut's economy has to events beyond our control, such as hostilities in the Middle East and disruptions to the flow of petroleum.

It is DeStefano's charge that Rell has not taken economic leadership of the state, despite the fact that the economy has generally improved (albeit slowly) on her watch. According to DeStefano, "With strong leadership, creative ideas, and a smart hard-working labor force, there is no reason why Connecticut should not be a top 10 job growth state so our children can find jobs here."

However, without a serious economic crisis brewing, DeStefano's argument has yet to resonate with voters.

Sources

"DeStefano: Rell offers false optimism, but no new ideas or leadership to stop Connecticut's job loss." DeStefano for Connecticut. Press Release. 15 August, 2006.

UCONN/CCEA Connecticut Economic Outlook: State Gross Product Breaks $200 Billion; Employment Continues Sloooooow Recovery. Connecticut Center for Economic Analysis: 2006.

18 comments:

Anonymous said...

John who?

Authentic Connecticut Republican said...

DeStefano Attacks Rell over Job Numbers

Yeah sure, okay, uh huh.

Drive through New Haven (be sure and lock your doors the crime rate's probably higher than Beruit).
Then, assuming you survive your little jaunt in New Haven, drive through any other of the 169 towns in the state.

Nothing compares to New Haven.

Thank God.

The sooner we give up and bulldoze the whole place into LI Sound the better.

Genghis Conn said...

ACR,

You have to admit, though, New Haven's a lot better than it used to be.

GMR said...

First, Connecticut has one of the slowest growing populations of any state, so job growth is naturally going to be slower here than elsewhere.

I'm really dubious that state leaders should "strengthen investments" in various developing industries. Let the market handle that. We don't need some bureaucrat in Hartford to decide what industries should be "invested" in. That's what venture capital is for.

I'm highly dubious that the Middle East crisis and disruptions in the flow of petroleum has more of an impact upon Connecticut than it does on any other state in the country.

So why does CT have low job growth? Well, Connecticut is an expensive place to do business. And our population isn't growing that fast, and workers here demand high wages. Connecticut has High electric rates compared to many other states (although we're not that different from neighboring states). We've got a very expensive housing market, which means that workers demand high wages.

Authentic Connecticut Republican said...

Genghis Conn said...
You have to admit, though, New Haven's a lot better than it used to be.


Couldn't prove it by me.

I'm still missing 67 automobiles, titles, etc. and the NH police wouldn't take a report as the perp was one of their better sources of information.

So far I'm out about more than a couple hundred thousand (literally all the money I had was wrapped up in inventory) plus another 12K in legal fees getting the guy prosecuted. One should not need to pay to get someone prosecuted.

New Haven is flat out corrupt as far as I'm concerned.

Bridgeport isn't what you think it is by the way and it's miles better than when I first met it in 1975; I think New Haven's gotten worse.

The only thing New Haven has to do is send their mayor to jail. Nothing like locking up the mayor to clean things up down at the city hall you know. That gets everyone's attention in a hurry. Everyone's very polite and cooperative in Waterbury too I understand.

Anonymous said...

That sounds like Rumsfeld explaining Baghdad

disgruntled_republican said...

So what's JDS' idea?

Anonymous said...

I have a suggestion to make to our next governor John DeStefano. The job situation in CT is indeed anemic. My suggestion is to FINE all corporations in CT who "outsource" to other countries. Return those jobs to CT.

Have any of you had to get your GE fridge repaired lately?

Anonymous said...

We're a 'blue' state with a 'red' governor! What's wrong with this picture?

The True Gentleman said...

"With strong leadership, creative ideas, and a smart hard-working labor force, there is no reason why Connecticut should not be a top 10 job growth state so our children can find jobs here." -- Mayor John DeStefano

This means that we currently don't have strong leadership, no creative ideas, and the labor force is neither intelligent nor hard-working. Good message, Mr. Mayor.

Anonymous said...

I'm a true blue democrat. However, I contend, and always have, that we don't want one party dominating all levels of government - be it Dem or Rep - because power brings responsibility that I'm not sure I want invested in ANY of these people. All things in moderation, including D's and R's.

Anonymous said...

Malloy would have been a much, much better candidate--he would have attracted R's and Conservatives. JDS is just another liberal grifter.

bluecoat said...

We don't need some bureaucrat in Hartford to decide what industries should be "invested" in. That's what venture capital is for. I agree with you totally on that GMR but Jodi has kept the same bureacrats in place that do just that - and she often goes out to the ceremonies: such as this one for cutting edge outdoors equipment:Rell heading to East Hartford to announce incentives for Cabela's construction By Ben Rubin, Journal Inquirer 08/15/2006

bluecoat said...

Malloy would have attracted "R's" the same way he did in the last mayoral election in Stamford!

bluecoat said...

This top state cop may not have committed a crime but he sure sounds enetiled like so many of them:Senick Says He Didn't Read Lease Emotional Former State Police Major Takes The Stand To Open His Defense August 16, 2006 By TRACY GORDON FOX, Courant Staff Writer and, of course, dare i say from one of Waterbury's own Democrats who made it big under John Rowland, a Waterbury Republican::A Door Opens On Court Intrigue Documents Show Maneuvering In Sullivan thics Case August 16, 2006 By LYNNE TUOHY, COURANT STAFF WRITER

FatGuyinMiddleSeat said...

Resource allocation alert:

You're gonna lose the governor's race. Focus on the Senate race.

You don't see breath wasted on Schlesinger do you?

The only reason JDS is in line right now is because Joe Ganim is peeling carrots at a residential facility provided by the federal government.

bluecoat said...

The only reason Rell is Governor is that Rowland went to Loretto for a year and a day. What's your point Fat Guy? You want Joe Ganim to plant trees and build sports arenas all over CT?

GMR said...

Fred Carstensen, director of the CCEA, stressed that “State leaders must strengthen investments” in developing industries and educational programs to create jobs. (DeStefano)

Educational programs to create jobs. This policy has one flaw. Graduates can move, so often you help another state's economy.

See This article from today's NYT.