Ninth District economy mirrors the U.S. slowdown.
What is the impact of the slowdown on employment?
- Regional Economist
Published July 1, 2001 | July 2001 issue
The full extent of any economic slowdown in the district compared with the rest of the country is a complex matrix of data and anecdotes. But by one measurechange in weekly claims for unemployment compensationthe regional economic slowdown looks slightly worse than the national slowdown.
During the first 19 weeks of 2001, claims for unemployment compensation in four district states (Minnesota, North Dakota, South Dakota and Montana) are up 35 percent from the same period in 2000, while U.S. claims rose 32 percent. However, claims rose at different rates across the district: 8 percent in Montana, 12 percent in North Dakota, 34 percent in South Dakota and 45 percent in Minnesota. Although only parts of Wisconsin and Michigan are included in the Ninth District, statewide rates rose 50 percent and 95 percent, respectively.
Relatively small increases in Montana and North Dakota are due to the minor role of manufacturing in these states. Overall, the manufacturing sector generated the largest portion of unemployment insurance claims, particularly in the areas of transportation equipment, electronic and other equipment, and industrial machinery and equipment.