Colorado growth may be slowing
November 8, 1999
Colorado’s economy could be slowing, despite more growth in the manufacturing sector in October, according to a monthly survey prepared by the University of Colorado-Denver business school.
Economic growth was at 53.5 percent last month on the Front Range Purchasing Managers’ Index, compared with 57.8 percent in September, the survey said. An index over 50 indicates growth in the manufacturing sector, which accounts for about 15 percent of the state economy.
The business conditions survey reviews managers’ assessments of 29 factors such as the availability of labor, inventory levels of raw materials and of finished goods, new orders and prices.
For the first time since January, the new orders index fell in October below the 50 mark to 48.9 percent from 58 percent in September. The drop was countered by an indicator showing increased production levels, said Michael Hayes, a marketing professor at CU-Denver who helps conduct the survey.
The survey also showed that managers are having trouble finding workers, though not as much as they did in September. Some managers are filling vacancies with out-of-state workers or people moving off welfare, Hayes said.