Economic Outlook n° 1187 | Special Report | The Reindustrialization of the United States
Euler Hermes
Texas The second largest state economy in the U.S. CANADA Focus on… Texas, the power plant Seatle Olympia
WASHINGTON Salem
Portland OREGON
Boise IDAHO
San Francisco Sacramento CALIFORNIA Los Angeles
Carson City NEVADA
NORTH DAKOTA Helena MONTANA WYOMING Cheyenne Salt Lake City UTAH ARIZONA Santa Fe Phoenix NEW MEXICO Dallas TEXAS Austin Pacific Ocean MEXICO Houston New Orleans Tallahassee
COLORADO Denver
Bismarck
SOUTH DAKOTA Sioux Falls
NEBRASKA Lincoln Topeka KANSAS
Oklahoma City OKLAHOMA
MINNESOTA St. Paul IOWA Des Moines
WISCONSIN Madison
Chicago ILLINOIS Springfield
MISSOURI Jefferson City
ARKANSAS Little Rock LOUISIANA
MISSISSIPPI Jackson
Baton Rouge FLORIDA Miami Atlantic Ocean
ALABAMA Montgomery
Atlanta GEORGIA
Indianapolis INDIANA
MICHIGAN Lansing
Detroit
Columbus OHIO
Frankfort KENTUCKY Nashville TENNESSEE Columbia SOUTH CAROLINA Raleigh NORTH CAROLINA
NEW YORK Albany
New York
PENNSYLVANIA Harrisburg
Washington WEST
Charleston
VIRGINIA Richmond
Augusta Montpellier
VERMONT Providence
MAINE Concord Detroit MASSACHUSETTS RHODE ISLAND
CONNECTICUT Hartfort
NEW JERSEY Philadelphia
Trenton VIRGINIA
in 2011. The Texas economy has grown faster than the rest of the U.S. in nine of the past 12 years as shown below in Figure 23. Texas is also the second largest employer with 8.8% of all U.S. jobs, and through most of 2011 and 2012 has outperformed the rest of the U.S. in job growth as shown below in Figure24. In fact, of all the 2.6 mil- lion jobs created between January 2000 and August 2012, 1.8 million, or 70%, were created in Texas. Fore- casts for 2013 Texas GDP and job growth are expec- ted to significantly outperform the U.S. as a whole. Texas comprises 7.1% of all U.S. manufacturing jobs. One outstanding feature of the Texas economy is the housing market, which was relatively resilient com-
T
exas is the second largest state economy in the U.S. after California, comprising 8.8% of U.S. GDP
pared to the entire U.S. From the period just before the housing bubble burst, January 2006 to May 2012, housing prices in Dallas fell only 2.7%, the least of any of the 20 major cities nationwide measured by the Case-Shiller home price index. The average housing loss for the 20 cities nationwide over that time period was a remarkable 31%. Median single-family home prices in Texas were up 5% in August 2012 compared to a year ago. Sales of existing single-family homes over the same time period were up 17% compared to a nationwide average of 10%. Permits were up 36% versus 24% nationwide. The strength in the housing market will provide a boost to the entire state eco- nomy and a robust environment for manufacturers of building materials going forward.