San Diego Economy Expected To Grow Despite Challenges
Friday, December 6, 2013
SAN DIEGO A new economic forecast finds 2014 will likely be another year of slow but steady growth in San Diego.
Aired 12/6/13 on KPBS News.
San Diego's economy will continue to improve next year, economist says.
Economist Lynn Reaser said 2014 should be positive for the local economy.
Her annual forecast comes from the Fermanian Business and Economic Institute at Point Loma Nazarene University. Reaser predicted the San Diego region will gain 28,000 jobs next year. That would raise employment above pre-recession levels.
The forecast predicted the technology sector will drive a lot of the job growth, that tourism will grow, and the recovering housing market will help.
"We'll likely see a little more moderation in the coming year with home price increases somewhat less than 10 percent," Reaser said. "(That's) about half of what we saw last year. But still, we'll see more home sales, more home buyers, more home building permits, so it should still be a year of recovery for the home-building area."
Even so, there are some areas of concern.
San Diego is still facing the prospect of negative economic pressure from shrinking military budgets, rising college costs and over-regulation, she said.