Monthly Review of the Texas Economy — January 2009 By Ali Anari and Mark G. Dotzour

The Texas economy is cooling but continues to create more jobs. Texas gained 154,600 jobs from December 2007 to December 2008, while the U.S. economy lost more than 2.8 million jobs over the same period (Table 1 and Figure 1). The state’s seasonally adjusted unemployment rate rose from 4.2 percent in December 2007 to 6 percent in December 2008 (Table 1); the U.S. rate rose from 4.9 percent to 7.2 percent during the same period.

Bold Government Action Can Solve Housing Crisis

By Bryan Pope, Associate Editor, Real Estate Center at Texas A&M University Release 03-1208
COLLEGE STATION, Tex. – Although recent government efforts to improve America’s housing markets have proven less than effective so far, noted economist Dr. Mark Dotzour says bold government action can get the market back on track. In his new white paper, the chief economist for the Real Estate Center at Texas A&M University offers a four-part solution to fixing the housing crisis, one that involves more than simply devising ways to keep people in their homes. “The housing problem is fairly easy to understand,” said Dotzour. “We have too much supply and not enough demand, and we need to reverse that.”

’09 Outlook. Nothing Certain, But Uncertainty.

Summary of Regional Population Estimates

North Central Texas has added 131,000 persons during 2007 for a January 1, 2008 total population of 6,538,850. This marks the twelfth consecutive year to add over 100,000
persons. A decrease in growth during 2007 can be explained by a slow down in new single-family completions. Over 40 percent of the region’s growth in 2007 was located in five cities. Dallas (1,300,350) led the region by adding 19,850 new residents. Fort Worth followed, adding 16,000 new residents, bringing the city’s total population to 702,850 persons. McKinney (118,200) added 6,200 persons. Frisco pushed its total population to 97,600 by adding 5,500 residents. Plano (260,900) rounded out the top five in absolute growth by adding 5,200 persons. Some smaller suburbs continued to see small to moderate.