Brice Wallace
Along with the temperatures, the summer has provided a surge in Utah’s economy, according to statistics in a new report.
A growing labor force, easing inflation and gradually increasing home sales prices benefited the state this summer, according to the August “Roadmap to Prosperity Dashboard,” released by the Salt Lake Chamber in partnership with the Kem C. Gardner Policy Institute at the University of Utah.
“Our summer numbers continue to show Utah’s economy surging, with record labor participation and consumer spending lifting the economy upward,” said Derek Miller, the chamber’s president and CEO.
“As Congress faces the federal fiscal year-end, we expect the debate on fiscal responsibility to show why states like Utah stand out and remain strong. This poses some government shutdown risk, but overall sentiment remains positive on how our economy has performed during this corrective cycle. The U.S. is moving towards a soft landing that would benefit the global economy as China sputters and Europe weakens.”
The August dashboard indicates that tight labor market conditions persist in Utah, but the state’s employment continues to grow at impressive rates as more workers enter the labor force. “Utah’s labor force participation rate ranks highest nationally, and the unemployment rate consistently remains among the lowest in the nation,” the chamber said in a news release.
Meanwhile, inflation rose only slightly and stayed far below recent highs. The Federal Reserve’s aggressive tightening policies helped bring inflation down from 9.1 percent to 3 percent from June 2022 to June 2023. Inflation increased slightly in July to 3.2 percent but remains low relative to last year’s highs.
As for home sales, after peaking in May 2022, Utah’s median home sales price reached an 18-month low in January. Yet home sales prices have climbed gradually in recent months, reaching an 11-month high in June.
“The latest dashboard highlights a strong and balanced economic correction for Utah,” said Natalie Gochnour, director of the Gardner Institute. “Despite recessionary talk earlier this year, our national outlook is improving, while our state’s elite economy is marked by balanced unemployment, lower inflation, and increased labor force participation. Though challenges remain, these strong economic indicators will help Utah as we head into the final months of 2023.”
The dashboard is updated monthly, providing insights, tracking timely and leading measures, and sharing pertinent indicators, providing state leaders with important and timely information as they make informed decisions.
The August dashboard is available at https://slchamber.com/resources/roadmap-dashboard/.