PROVIDENCE – The Current Conditions Index value for Rhode Island in September was 58, a decline from 75 one year prior, according to University of Rhode Island economist Leonard Lardaro Monday.
A value above 50 indicates economic expansion, while a value under 50 represents contraction.
Lardaro said that while the overall CCI value appears to be a disappointment, declining from 83 in July and 67 in August, the underlying indicators reflect some promising developments.
Lardaro maintained that the short-term success of the Rhode Island economy remains tied to the economic performance of Massachusetts and the country at large.
Seven of the 12 indicators improved year over year. Two of the poor-performing indicators, total manufacturing hours and benefit exhaustions, were labeled as “particularly worrisome.”
Lardaro’s “greatest concern” for the Ocean State’s economic status was the performance of the local goods-producing sector.
Despite this, Lardaro said improvements in resident employment, employment rate and labor force participation were good signs for the local economy.
Year-over-year improvements of CCI indicators:
- Government employment increased 0.7%
- Single-unit permits increased 53.1%
- Retail sales increased 10.7%
- Employment services jobs increased 8.2%
- Private service-producing employment increased 2.1%
- Manufacturing wage increased 3.2%
- The unemployment rate declined 0.3%
Year-over-year performance of CCI indicators that failed to improve:
- United States consumer sentiment declined 7.2%
- Total manufacturing hours declined 5.8%
- The labor force declined 0.1%
- Benefit exhaustions increased 16%
- New claims for unemployment insurance increased 3.1%
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