Local economy fares better than state

ST CLOUD, Minn.- According to St. Cloud Area Quarterly Business Report, central Minnesota has increasingly felt the recession and the local economy will not show improvement until late this year or early next year.

Economists and professors at SCSU, Rich MacDonald and King Banaian, found that there are a few signs of hope with the dim conditions anticipated for the coming six months.

Their survey of 93 St. Cloud- area businesses showed a 32 percent decrease in economic activity from February to May, as 42 percent saw an increase. 32 percent of the surveyed businesses also cut their employment as 15 percent added to their staff. These numbers are the weakest May numbers on record.

St. Cloud is faring better than the state as employment in the last year declined 1.3 percent while statewide employment declined 3.3 percent. St. Cloud’s goods producing sector declined 7.8 percent, which is less than the state’s 10.8 percent decline.