Gulf Coast Economy Weathering Recession Much Better Than Other Parts of the Nation

The Mississippi Gulf Coast has fared much better than other parts of the state and country during this economic recession . That was one of the topics discussed yesterday in Biloxi by more than 1000 business leaders and economists who gathered together at an economic symposium. MPB’s Phoebe Judge reports.

Even with the latest report last week of nationwide unemployment figures much higher than expected, most economists think Mississippi is at the bottom of this recession. Lance Nail is the dean of the College of Business at the University of Southern Mississippi,

“I would say regionally we tend to lag six months to a year behind in Mississippi versus the national economy. So we are probably seeing now what the national economy saw now about six months ago, that’s why we are starting to see sort of the worst of it now we hope in Mississippi. We hope to see the rebound that the rest of the nation seems to be experiencing now.”

While many parts of the state have been devastated by the economic downturn, the economy of the Gulf Coast has fared much better than the rest of the nation. Hancock Bank CEO Carl Chaney says the primary reason for that is the ongoing rebuild from Hurricane Katrina.

“While we are not immune to what is going on with the national economy we certainly are insulated somewhat. Unemployment on the Gulf Coast is not anywhere as high as what we are seeing on the national average and certainly not as high as areas in the rest of the state of Mississippi.”

John Barlow, a pollster who follows the banking industry, says the business community of South Mississippi has more confidence right now then the rest of the country and that’s a good thing,

“It means that they are willing to take risks that they wouldn’t otherwise take in other parts of the country. They haven’t lost the urge to compete, get out, and to develop new products, take chances and offer new services.”

Economists say the good news for the state is that it doesn’t look like there will be much more risk for further economic decline, but the recovery is expected to be slow and drawn out.