Report: Sluggish economy will continue into 2010

By J. Patrick Coolican

Monday, Jan. 4, 2010 | 2:24 p.m.

The struggling Southern Nevada economy showed no signs of recovery in the fall of 2009, according to a new report from UNLV’s Center for Economic and Business Research.

The Southern Nevada Index of Leading Economic Indicators declined 0.61 percent in December; the decrease suggests continued sluggish job growth in the next four to six months.

The index uses a broad array of the most recently available data, in this case, from October, including gaming revenue, visitor volume, construction activity and the like.

Of the 10 key indicators, eight were down.

The Clark County Business Activity Index has slid to levels not seen since November 2003, with taxable sales and gaming revenue dragging down the index.

“This has dire consequences for state revenue forecasts,” notes Bob Potts, assistant director of the center, in a news release.

The tourism index was at its lowest level since January 2009.

The construction employment has returned to 2002 levels. Residential and commercial permits are at levels not seen since the early to mid-80s.

The economy continues to struggle from an excess capacity of homes, retail, office and industrial development, while the tourism sector suffers from a glut of hotel rooms and stingier travelers.