Happily, I must admit that response to the Edge has been a bit overwhelming. Since the first edition hit the airwaves last May, readership has doubled and we have received hundreds of comments and good suggestions for stories and new sections. As a result, last month's edition featured the first in a series of county profiles and this month we are introducing a new press room section where you will find links to DBED related news articles.
This edition also marks the Edge's transition to a bi-weekly publication. Publishing twice a month will help ensure that our features are timely and it allows for expanded coverage of economic
trends as well as statistics, rankings, news and comment to better inform and educate current and prospective businesses about Maryland's strong, diverse and resilient economy.
This second edition will allow us to chart and compare Maryland's progress in several key areas, including labor, unemployment and job growth by industry sector. We'll also take a look at how Maryland is performing in select business and consumer markets.
I hope you enjoy the first bi-weekly edition of the Edge. And please let us know how we are doing. |
Weathering the storm
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While many national economists are predicting recession, Marylanders should take comfort in knowing that we are better positioned than most states to weather national economic downturns. In fact, while many states lost jobs last year, Maryland added more than 200 new businesses and over 20,000 new jobs. And today, Maryland continues to post one of the lowest unemployment rates in the nation, well below the national average. More importantly, our business pipeline looks strong. DBED's regional and business development representatives are currently working with more than 50 companies who are looking to locate or expand in Maryland. These projects alone represent more than 11,500 potential new jobs.
Strengthened by Governor O'Malley's commitments to education, workforce development, transportation and quality of life, economic data shows that Maryland is well-prepared to attract and retain businesses in these challenging economic times. |
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Maryland job growth increases 0.8 percent
U.S. payroll employment increased 0.7 percent in January over January 2007. In comparison, Maryland payroll employment increased by 0.8 percent for the same period. Maryland employers added 21,100 net new jobs during the period. Maryland job growth was above average for the region in leisure and hospitality, wholesale trade, and information. Click here to view job growth chart. |
| Maryland unemployment 11th lowest in U.S. |
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At 3.5 percent, the jobless rate in Maryland is well below the national average, causing steady wage growth. Maryland's seasonally adjusted unemployment was the 11th lowest rate among states in January. When adjusted for seasonal variations, Maryland's unemployment rate has been stable throughout the year, remaining at 3.5 percent to 3.6 percent.
Locally, unemployment rates in Eastern Shore counties increased due to seasonal economics. According to the Department of Labor, Licensing and Regulation, downsizing in weather-related industries, the wind down in retail trade and temporary holiday furloughs contributed to employment declines and labor force reductions in a number of jurisdictions. The January unemployment rates were little changed across the rest of the state averaging 4.0 percent in the Baltimore region, 3.4 percent in the Capital region and 4.7 percent in the balance of the state. Click here to view unemployment chart. |
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| MD's Monthly Economic Indicators
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Click to view the monthly tables.
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Baltimore area generates half of Maryland's GDP
In September, 2007, the U.S. Bureau of Economic Analysis released estimates of GDP by metropolitan area. Metropolitan statistical areas (MSAs) are standardized county-based areas having at least one urbanized area of 50,000 or more population, plus adjacent territory that is economically integrated with the core, as measured by commuting ties. This new series provides GDP estimates for 363 metropolitan areas, and for 61 detailed industries in each area.
According to these prototype estimates, metropolitan areas produced 90 percent of U.S. current-dollar GDP and the five largest metropolitan areas accounted for 23 percent of the U.S. total of $12.4 trillion. In Maryland, 2005 GDP was estimated at $244 billion. According to the newly released data the Baltimore Towson MSA represented almost half of the state's GDP with $118 billion. The Washington MSA, which encompasses Washington, D.C., Maryland and Virginia suburbs, as well as parts of West Virginia, had a total GDP of $348 billion. The other Maryland MSA, Hagerstown Martinsburg, had a total GDP of $7.1 billion.
In the future these estimates will help to determine the overall size and growth of metropolitan economies, assessing the impacts changes to the economy, and analyze performance industrial sectors in the different regions of the state. |
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Census time again
In December, 87,000 Maryland businesses received 2007 Economic Census forms from the U.S. Census Bureau. Taken every five years, the economic census is the nation's most comprehensive measure of business and industry. Federal Reserve Board Chairman Ben Bernanke has called this census "indispensable to understanding America's economy."
The forms ask for basic information like business location, employment, payroll, and sales by type of product or service. Businesses that receive a form are required by law to respond. Businesses, communities, and governments use Economic Census data for planning and market development. Statistics are published for more than a thousand industries as well as for states, counties, cities and metropolitan areas at business.census.gov. |
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Educational and health services gains lead Maryland sectors |
In January, the Labor Department revised employment data for all states back to April 2006 to reflect updated seasonal adjustment factors and 2007 benchmark levels. The revised report showed that national payrolls contracted in January but that Maryland's economy posted a slight gain of seasonally adjusted 900 jobs from December to January. According to the Department of Labor Licensing and Regulation, increases in retail trade, health services and leisure and hospitality industries contributed to the monthly upturn. Since last January, Maryland employers have added a net 21,100 jobs. Within the private sector, service-producing jobs are posting strong and steady growth. While goods producing payrolls remain weak, owing to weakness in the local housing market, Maryland is outperforming both the region and the nation in goods-producing jobs. The strongest gains were posted in educational and health services, information, leisure and hospitality and professional and business services. Click here to view job data by sector chart. |
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