Data Compiled by Center for Business and Economic Research Forecasts Slow Recovery in Business, Tourism and Construction Sectors
The business, tourism and construction industries of Southern Nevada are expected to make slow economic recoveries within the next two years, according to data compiled by economists at the Center for Business and Economic Research (CBER) at the University of Nevada, Las Vegas. At its mid-year economic outlook conference Tuesday, CBER Director Keith Schwer said Southern Nevada will likely lag behind the rest of the nation's financial progress because the Las Vegas economy is a one-industry consumer-based system which is experiencing a slump in the housing and construction sectors, an unemployment rate above the national average and a decrease in visitors to Las Vegas.
"Southern Nevada's economy is dependent upon discretionary spending. In an economic downturn that's the first type of spending that will be cut back. We need to be prepared for a sharper downturn that you might ordinarily expect in other more diversified economies. Economic diversification is one of the recommendations from this report," said Keith Schwer, director of the CBER. "Las Vegas is a destination resort so the critical factor for our economy to recover quickly would be a global economic rebound and then the U.S. economy picking up."
