Business Cycles and the Eighth District

G.J. Santoni
1983 Review  
QUESTIONS frequently arise regarding the longer-an economic performance of a particular geographic region relative to the nation as a whole. Recently, for example, attention has been focused on the rapid growth ofthe "Sun Belt" states and the economic decline ofthe industrial centers in the Northeast. Fundamental economic forces, of course, are always at work and over long time periods can have substantial effects on the economic growth ofa particular region.' Alternatively, questions about the
more » ... questions about the relative performance of a particular region may focus on shorter-run issues. Economic conditions in the Eighth Federal Reserve District, for example, have drawn considerable attention during the recent recession. Various commentators have pointed out that the recession was particularly severe, resulting in a decline in District economic activity relative to the nation. This differential effect apparently has been most noticeable in the markets for consumer goods, labor, transportation and residential housing. 2 In addition, some observers have claimed that the recession caused the growth rates of District personal income and tax revenues to decline relative to national averages C. J. Santoni is a senior economist at the Federal Reserve Bank of St. Louis. Thomas A. Pollnmann provided research assistance,
doi:10.20955/r.65.14-21.vlg fatcat:il6hjss7qzdw3l5otai2v4d5xm