Top header graphic with link to CSUS Home Page california state university, sacramento
Header Graphic
sac state homeuniversity affairspublic affairs

   search CSUS

   main news page

media resources graphic
   news releases
   news and events

   fact & stats
   experts guide
   news by e-mail
   contact news
     services staff

publications graphic
   Capital University

   CSUS Bulletin
   CSUS Catalog
   Viewbook (pdf)
   How-to Guide (pdf)

calendars graphic
   events this month
   search events

people graphic

   new faces
   in the news

   in memoriam

additional news graphic
   Capital Public Radio
   alumni association
   crime alerts
   CSU system
   CSU campuses

visitors resources graphic
   ceremonies and     
     visitor relations

   CSUS ticket office
   campus directory
   campus tours

contact us graphic
   news services
     staff directory

   submit news
     & events



January 23, 2003

Forecast: State budget woes hamper local economy

Full Report

December marked the seventh straight month of negative job growth for the Capital Region, with state budget troubles and possible tax increases dimming prospects for a quick turnaround, according to the quarterly CSUS Forecast released today by the California Institute for County Government at California State University, Sacramento.

The report also said the local economy is hurting from uncertainty about the national economy and the possibility of military action in the Middle East.

Forecasters expect negative job growth to continue through the summer, with positive job growth returning late in the year.

The Capital Region's employment growth was -0.45 percent in December. By comparison, the state recorded -0.14 job growth and the nation -0.09.

Although government employers in the region continued to show positive job growth, the rate slowed to 1.1 percent. Forecasters expect the government sector rate to be negative soon because of state budget cuts.

The outlook in the manufacturing and construction sectors is a bit more positive. Manufacturing is still negative but continuing to improve. And construction, which had negative job growth in mid-2002, showed positive job growth again.

The quarterly CSUS Forecast of the region's job outlook uses an econometric model of the six-county Capital Region with more than two dozen variables. It was developed by the California Institute for County Government with support from the CSUS Regional Development Initiative. CSUS economics professor Suzanne O'Keefe and Robert Fountain, special assistant for regional development at CSUS, served as project advisors. Shawn Blosser of Databasix provided assistance with model development and programming.

More information is available by contacting Matthew Newman, director of the California Institute for County Government, at (916) 324-0796 or by visiting the institute's website at Additional media assistance is available by contacting CSUS public affairs at (916) 278-6156.



Bottom bar graphic back to top

California State University, Sacramento • Public Affairs
6000 J Street • Sacramento, CA 95819-6026 • (916) 278-6156 •