Economic Recovery Begins in Some States, Others Can’t Catch Up

Summary: Economic recovery in some states in the Midwest has already started while other major industry players are having a hard time catching up, a new federal survey showed.

According to experts, these pockets of recovery could soon influence the flow of overall US economy as the housing and manufacturing sectors in these regions surged in the past couple of months.

A new federal survey released on Wednesday showed that some areas in the United States have started to make economic progress in the wake of the worst recession since the Great Depression. However, the same survey also showed that major business areas are still suffering from the sting of the economic slump.

According to the data, the manufacturing and housing sectors in the Midwest were among the winners as the surges in sales have been recorded two months after government officials declared that the recession is over.

But big states like California, Florida, and Nevada are still feeling the sluggish economic recovery as home buyers stood their ground, waiting for further development in the market. The manufacturing and retail sectors are also having difficulties in meeting their target sales as Americans holdback their spending in the face of the holiday shopping season.

Also, record-high unemployment rate in the following states created more tension in the economic recovery process.Meanwhile, the government suggested that the economic will further improve in the coming months as 12 major regions in the US showed significant signs of development both in the housing and manufacturing sectors.

In a related development, economist warned American consumers that the economy may come to a stand still as the government takes back its stimulus program on several markets. Just recently, the cash for clunkers program for the automobile industry has ended resulting to stagnant sales in showrooms across the US. While first-time home buyers were given until November 30 to make commitments as the credit support being given by the Obama administration nears its end.