North County business and community leaders learned from national and local economists that no recession will loom in 2016. However, the local labor market would be sluggish and job growth could be tightened.
Mark Vitner, Wells Fargo's Charlotte-based senior economist, stated that he continues to expect for the economy to grow around 2 percent. As long as the domestic demand remains strong, it will help offset slow global growth.
Vintner had also observed that they are not adding jobs at the same pace when compared to how it was three years ago. Furthermore, he shared that Wells Fargo's forecasting models predicted that the possibility of recession is currently under 30 percent.
While the probability is low, the senior economist acknowledged that consumers need to be worried about the potential rerun of the 2008 economic downfall. Also, he noted that professionals could still count the number of good days while it last.
Josh Williams, President of BW Research Partnership in Carlsbad, on the other hand said that the unemployment rate in North County has significantly dropped from 7.8 percent to 4.4 percent over the last three years. He believes that while this is generally seen as a positive indicator for job-seekers, it is low enough that it could become an issue for employers as they look for new talent and new workers to hire.
Williams said that corporations in the defense, pharmaceuticals, brewing and aerospace industries are pushing growth in the manufacturing employment in North County as the region develops from a community economy to a more export-based industry. However, he noted that the north inland area of the region is recently lagging in job growth.
The North County Economic Summit experts claim that the weak stock market was because of the uncertainty surrounding the wavering economy in China, Times of San Diego reported.
Vitner and Williams spoke at the North County Economic Development Corporation's 3rd annual North County Economic Summit. More than 400 people attended the event, which took place at the Omni La Costa Resort & Spa in Carlsbad.
