The Southeast Missouri Business Indicators summer survey predicts modest growth in the economy through the end of the year. G-D-P posted a weak 1-point-9-percent rise in the first quarter of the year due mostly to a slowdown in federal and local government spending. The European debt crisis continues to be a drag. But the Indicators expect the national economy to grow by about 2-point-5-percent through December, unemployment to dip to just below 8-percent, and new housing starts to rise slightly. Southeast economist Bruce Domazlicky tells KZIM KSIM the good news is that factories are producing today near pre-recession levels. Domazlicky says locally, employment is 45-hundred jobs less than at this time last year, although the unemployment rate regionally is down from 10-point-5 to 8-point-9-percent. Southeast Missouri personal incomes and retail sales are growing by 4-percent from a year ago. But he says the rate of growth is slowing which may hurt local spending if the national economy doesn’t pick-up.
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