THE VIRGINIAN-PILOT
Copyright (c) 1997, Landmark Communications, Inc.
DATE: Friday, January 24, 1997 TAG: 9701240552
SECTION: BUSINESS PAGE: D3 EDITION: FINAL
SOURCE: BY LON WAGNER, STAFF WRITER
LENGTH: 33 lines
The Hampton Roads economy didn't have a great November, but its slight improvement marked the third straight month of economic upswing, according to a regional economic index.
Though the index is no higher than it was in November 1995, the three consecutive gains may indicate the Hampton Roads economy is gathering the momentum it needs for a stronger 1997, said David G. Garraty, economics professor at Virginia Wesleyan College and the index's author.
``We've been kind of dragging for most of the year,'' Garraty said. ``I'm still not sitting here saying `Great guns,' but if we can get a little momentum going from the national economy, that should help us.''
The economic performance index rose to 104.8 in November, up from 104.4 in October. The index uses seasonally adjusted employment data to rate the region's economy against a 100-point baseline established from 1991-1993.
The index's November score was boosted by employment growth in the finance, insurance and real estate professions, as well as gains in construction and government. Construction, which had shown some weakness recently, grew at an annualized 13.1 percent rate from October to November.
But the region's service sector, which accounts for about 28 percent of Hampton Roads' jobs, grew only 1.8 percent in November. Garraty said that slow rate of growth was cause for concern, considering the sector accounts for nearly three of every 10 jobs in the region.
``I'd like to see services pick up a bit to give us some forward movement going into '97,'' he said.
KEYWORDS: ECONOMY HAMPTON ROADS