I was shocked to see this e-mail blast from Gov. Rick Perry yesterday.
Last week was a busy week in Austin, but Gov. Perry still made time to get out with the people in West and South Texas to go face to face with citizens and discuss a number of key issues.
In Harlingen on Tuesday, Governor Perry announced the creation of several hundred new UnitedHealth Group jobs for the Rio Grande Valley.
On Wednesday, the Governor visited with employers and employees at Good Hair O'Hair Shutters in Lubbock to discuss his decision to reject the obligation-laden funds for the Unemployment Insurance program. Visit this page on his website to hear radio interviews the Governor did while in Lubbock.
Governor Rick Perry sent a mass e-mail blast to an undisclosed list of thousands or tens of thousands of Texans touting "several hundred new jobs".
It's interesting Perry would tout such modest job creation since the Texas Work Force Commission recently released far less positive news.
The Texas Workforce Commission just announced Texas lost an additional 46,100 jobs in February. Added to the revised January job loss number and Texas is down 102,000 jobs in 2009.
To quickly run through the numbers, Texas' seasonally adjusted unemployment rate rose to 6.5 percent in February. This is up from the 4.5 percent unemployment Texas had in February 2008.
As Harvey Kronberg pointed out, "These job losses are taking place against the backdrop of Governor Perry's refusal to accept federal stimulus money to replenish a soon to be depleted unemployment insurance fund. Experts predict unemployment insurance rates will at least double in January 2010 absent the federal funds."
As Evan Smith, President and Editor of Texas Monthly, pointed out nearly a month ago, 6 Texas counties are suffering from double digit unemployment - Starr, Presidio, Maverick, Sabine, Zavala, and Loving. Not to mention the dozens of other counties in Texas inching up to and over the national average of 8.1% unemployment (source: NYT).
Personal income growth is slowing across the country and Texas is no different.
Personal income in Texas last year increased 6.1 percent over 2007. Between 2006 and 2007, personal income increased 7.6 percent.
Per capita personal income in the state in 2008 was nearly $38,600, up 4 percent from the year before. Texas' population increased 2 percent during the year, one of the largest percentage increases in the country.
We continue to beat the national averages, but with states like Michigan, California, Oregon, Washington, South Carolina, Alaska, and others reeling in the wake of the Bush administration, the national average is brought down by states with multiple counties above 20% unemployment.
Yes, Texas is beating the average, but the trend lines are clear.
According to the Federal Reserve Bank, Texas is in a steep recession. The job market is sinking and every major urban area is weakening (except Harris County).
Which is why it was so shocking to see Governor Rick Parry touting several hundred jobs being created, when Texas is losing tens of thousands and all of the economic baselines are deteriorating.
A recent manufacturing survey indicates manufacturing continues to be weak in Texas.
Factory activity in Texas contracted again in March, a new survey released on Monday by the Federal Reserve Bank of Dallas concluded.
The report, which takes into account survey responses from professionals in the manufacturing industry, concluded that 53 percent of manufacturing executives reported weaker market conditions in March and 43 percent said they experienced no improvement from the month of February.
The manufacturing industry also noted downward price pressures continued, with 50 percent of those surveyed seeing a drop in input prices and 34 percent selling their own goods for lower prices.
This e-mail indicates Governor Perry's continuing efforts to "burry is head in the sand" ignore clear economic data.
The bold leadership shown by Perry and the Republican Party of Texas through their new "Ostrich Strategy" is coming under heavy fire as more and more Texans have less and less to live.
According to NPR, Texas plans to spend $14 billion in stimulus money over the next two years. But the governor rejected $555 million in unemployment insurance, money that would increase the number of people eligible for benefits.
As we look to the future, Perry is playing a scary game of chicken. Blink and take the Recovery and Reinvestment Acts funds to solidify funds for unemployment insurance, which could cost you the primary. Or stare down your political rivals, raise business taxes and hope for the best.
In either case, Texans should hope for more frequent e-mails touting "several hundred" new jobs in order to out pace the tough economic news coming from the Federal Reserve and Comptroller's offices every quarter. |
