Browse the presentation (PDF) from Breakfast with the Economists: Mid-Year Economic Update held Wednesday, June 3, 2015 at the Westin La Paloma in Tucson.
Eller’s George W. Hammond and Federal Reserve economist Roberto Coronado offer insights on what to expect for Arizona, the U.S., Mexico, and our local economies for 2015 and beyond.
Federal fiscal drag continues to weigh on growth in southern Arizona, as does the slow housing recovery. Nonetheless, Arizona and Tucson added residents, jobs, and income last year, although the pace was well below our long-term average.
Gasoline prices plummeted during the fall and winter months, boosting resources available to households to spend and save. On the international front, Arizona’s merchandise exports to Mexico grew strongly in 2014. However, the U.S. dollar has surged against the Mexico peso since mid-2014, which may dampen export performance this year.
What do these developments mean for the Tucson economy in 2015 and beyond? How is the Mexico economy doing and what does that mean for Arizona and Tucson? Where are gasoline prices and the U.S. dollar headed this year? What risks lurk under the surface that may surprise us?