John Silvia – Chief Economist September 21, 2004 Presentation to: Global Issues Forum Employment Growth, Offshore Outsourcing and Secular Change in the Charlotte Labor Market. Our Challenge is Our Opportunity.
U.S. Outlook
Consumer Fundamentals: Income Sentiment Credit Outlook – Better
Investment Spending: Orders Capacity Utilization Financial Depth Outlook - Improving
Housing: Household Income Employment Credit Outlook - Positive
Inflation: Commodity Prices Dollar Energy Productivity Outlook - Creeping Up
Public Policy: Monetary Policy Fiscal Policy Regulation Trade
Change in the Charlotte Labor Market
Population Growth 10-Year Average
Comparative Employment Percent of Total Employment, 2003 U.S.North CarolinaCharlotte Construction Manufacturing Trade Finance Leisure Government Education & Health Prof. & Business Services
Charlotte Employment Percent of Total Employment, 1983
Charlotte Employment Percent of Total Employment, 2003
(+) Major Financial Center Growing headquarters center. Above average industrial diversity. Well-educated workforce. Charlotte
Secular Changes In the Charlotte Labor Market
OUTSOURCING Macro Story Global Allocation of Resources Net vs. Gross Job Gains/Losses Efficiency Profits, Disposable Income Prices Goods, Services Shareholder Value Objectives of Management?
OUTSOURCING Micro Story Workers, Supplies Job Creation/Destruction Industries Manufacturing, 1979 Communities Trade Adjustment
OUTSOURCING Cost of Inflexibility Work Follows Sales Emigration Long Term Change Education Productivity Dominate Job Creation Trends
Charlotte (-) Declining Textiles Airlines Professional Schools/Tech High Taxes Unfinished Highway