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| Economic Decline In Illinois Slowing |
The Illinois economy is still in contraction mode, but the rate at which it's falling has slowed.
The monthly University of Illinois Flash Index is at 94.1 - still below 100 indicating economic contraction but up one-tenth of a point from May according to U of I economist Fred Giertz. A number he says people shouldn't get too excited for, but he says at least the decline in economic conditions has begun to slow.
Giertz, who is the author of the flash index, says this month's increase breaks a sting of nine months of decline and it appears the nation's financial system has stabilized, which can allow other sectors to begin turning around.
"That allows other kinds of everyday business to go on as it would otherwise so we're not worried so much now about the total collapse of the financial system- we're just worried about the ordinary bad things such as high unemployment rates and General Motors problems or things of that sort.
Giertz says he doesn't see the recession ending until later this year or early next year, but consumers and businesses are viewing their economic prospects more optimistically since the financial system has stabilized.
The monthly flash index takes into account corporate earnings, consumer spending and personal income, adjusted for inflation, to provide an assessment of the rate at which the economy is declining or growing.
The index in April was at 95.3 while the number in May was an even 94. Numbers below 100 reflect economic contraction. |
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| 06 12 09 by Newsroom |
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