LOCAL ECONOMIC SNAPSHOT | FED DISTRICTS Analysis by the Federal Reserve Bank of Dallas shows that Texas and the region are growing again. The Fed’s Dallas district, which includes Texas and parts of Louisiana and New Mexico, has grown more quickly since 2000 than other districts. But in a city-by-city comparison, Dallas lags other cities in the state. Amo ng Texas metro areas, Houston has grow n the fastest since 2000. As Texas grows, Dallas lags Houston By BRENDAN CASE Staff Writer [email protected] TROY OXFORD Staff Artist [email protected] “We are forecasting 3 percent employment growth for the Texas The bottom line “North Texas took a big hit during the recession, as nearly all its industries “During the recent recession, the business-cycle movements were similar Employment by Fed district Texas Leading Index 90 105 120 135 150 150 160 170 180 190 200 Since 2000, employment has grown more quickly in the Federal Reserve’s Dallas district than in any of the 11 other Fed districts, according to an index compiled by the Dallas Fed. The Chicago and Cleveland districts have seen the largest employment contractions. The Texas Leading Index, which is designed to shed light on the state economy’s future, has been mostly increasing in the last two years after plummeting in the recession. In February , the index hit its highest level since August 2008 — the month before Wall Street investment bank Lehman Brothers failed. Texas Business-Cycle Index The Texas Business-Cycle Index helps gauge the current condition of the state economy. During the recent recession, the index bottomed out in the second half of 2009. While the index currently stands at its highest level in two years, it remains well below its peak in mid-2008. Metro Business-Cycle Indexes The Dallas Fed compiles indexes designed to reflect economic conditions in Texas metro areas. In the last 10 years, Houston has seen the largest improvement in its economy, while Dallas has been an underperformer. 70 80 90 100 110 120 130 140 150 80 90 100 110 120 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 January 2000=100 Index level (1987=100) Index level (1987=100) Index level (Jan. 2000=100) Dallas district U.S. Other Fed districts ’00 ’00 ’00 ’05 ’05 ’05 ’11 ’11 ’11 Houston-Sugar Land- Baytown Fort Worth-Arlington San Antonio Austin-Round Rock Dallas-Plano-Irving SOURCE: Federal Reserve Bank of Dallas