November 2008

The local economy slowed in November when the Index of Economic Activity in Tompkins County dipped 0.74 percent to a level of 150.88 from a revised mark of 152.01 in October. Building permits were the only area of strength. Retail sales and home sales dragged the index down, while employment held steady.

The number of jobs in Tompkins County held steady at 64,100 in November on a seasonally adjusted basis. The unemployment rate was 4.3 percent. That compares with 3.2 percent a year ago. The unemployment rate in New York State was 5.9 percent in November, compared to 6.5 percent nationally.

Retail sales volume continued to be sluggish in November when it fell 1.38 percent from October. Sales volume is down 8.76 percent from November 2007. The holiday shopping season in Tompkins County got off to a slow start with $117.2 million in November sales compared to $126.9 million last year. It is going to take a great December just to match last year’s mark of $276.0 million in holiday sales.

The number of passengers arriving and departing from Ithaca Tompkins Regional Airport descended 9.61 percent to 15,127 from 16,735 in October. Compared to November 2007 air traffic was up 2.80 percent.

The only bright spot in November was residential building permits which rose 32.83 percent. Building permits have a tendency to swing widely from month to month. The total number of permits issued in Tompkins County in 2008 should be about the same as in 2007.

Residential home sales in Tompkins County fell 16.85 percent in November when 48 homes were sold. In November 2007, 65 homes were sold. The average sale price was $180,200 compared with $159,600 a year ago. The median sale price was $165,500 compared to $140,000 a year ago. Although home sales were down significantly in November, prices seem to be holding their own.

Help wanted advertising slipped 0.71 percent in November. This is a negligible change for this indicator.

With only one month of numbers left to come in 2008 it looks like economic growth will be zero or slightly negative in Tompkins County for the year. 2009 is expected to bring more of the same.

Maintained by Elia Kacapyr (kacapyr@ithaca.edu)
Last updated 12/22/08