Executive Summary
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Introduction
Dallas, the Eleventh District in the Federal Reserves, has some growth in its economy between January and February. Dallas has seen an increase in prices for goods such as metal and energy, a decrease in the labor market, the drop in the housing market, but growth in retail sales, the demand for temporary services, and an increase in farm income. Dallas also showed an increase in the exporting of goods but a decrease in importing goods.
Price
The economic status of Dallas, Texas seems to match that of the entire country. Dallas has faced a rise in prices in specific industries, such as metals, shipping, and energy. Because of the high demand for oil and natural gas, gasoline prices increased and fuel surcharges have been put into place for the shipment of overseas cargo. The price of some agricultural goods, such as cotton has also increased. The increasing prices of some goods have lain to rest the concerns of escalating electricity costs for food manufacturers. Because metal prices are up, the cost of building nonresidential buildings is also up, however, lumber prices are down.
Labor Market
Many industries have gone into a hiring freeze and lay off employees to cut operating costs. However, those in the energy industry continue to be working at full capacity, due to the demand in that industry. Some companies have dropped wages while temporary agencies continue to increase wages due to the shortage in executive leaders. Shipping industries report an increase in wages due to this lack of executive leaders.
Manufacturing
Between January and February of this year, factory production continued to decrease. Production and demand for food, paper, high tech devices, and automobiles have weakened. These outcomes are blamed on high prices and customers reducing their spending in an anticipation of a downward turn. Despite the production of automobiles being down, the manufacturing of boats, barges, and aerospace components remain steady. The demand for materials to build residential homes has also decreased, slowing residential sales.
Retail Sales
Retail for Texas picked up between January and February; however, those nationwide companies report that Texas sales have decreased faster in comparison to other states in the country. Despite the rise in gasoline prices, auto sales have increased and are attributed to an increase in advertisements and incentives.
Services
There has been a greater demand for temporary services, technical workers in the information technology arena, engineering, oil-related services, healthcare workers, and those working in the financial industry. The shipping industry shows a balance, the decline in the value of a dollar has encouraged exporting, however, importing has not seen such luck. Shipping by use of the railroad continues