Southern States' Growth

Southern states are still leading the charge in many respescts from an economic growth standpoint. Here are some recent trends:

Total nonfarm employment in the South grew slightly over the past four years, while the nation as a whole lost a net of nearly 2 million jobs.

• From November 2003 to April 2004, the region's jobless rate dropped from 5.6 to 5.0, the lowest rate of any U.S. region.

• More locally, Virginia has posted a net gain of nearly 34,000 jobs the past four years, despite losing some 60,000 manufacturing. Florida has added nearly 278,000 positions. North Carolina produced more jobs, too, even though it lost 155,000 manufacturing positions.

Behind the South's vigor lies a variety of forces, from low wage rates and "right to work" laws to a languid lifestyle. Certainly the region's enduring population boom contributes to the economic dynamism. More people are moving to the South - which now contains one third of the U.S. population - than any other region. Retiring baby boomers have helped boost population growth across the Sun Belt by as much as 50 percent more than some other areas. The demographic surge is reflected in robust housing numbers: In March, 613,000 new homes were sold in the South - nearly as much as all other U.S. regions combined.

In some cases, states are making strategic investments that are contributing to the South's revival. North Carolina, for instance, is funding a first-of-its-kind broadband network across the state that is intended to attract Web-based firms and software startups. The Raleigh area alone is expected to add a net 20,000 jobs by the end of 2004. In Georgia, the decision to build a new terminal at Hartsfield-Jackson International Airport sparked a miniboom in construction that helped yield a net gain of some 67,000 jobs, most in Atlanta. In Tupelo, Miss., investments in local industry helped turn the Tupelo Furniture Market into the second-largest in the country, bringing in new firms such as Bauhaus and Tecumseh.

More here.