Arizona's economy shows signs of stablility

Experts: Arizona's economy is stable, from the Arizona Republic, reports that according to local experts, the housing market shakiness is only cooling Arizona's economy a bit in 2007. "Is a recession a possibility? Sure. Is a recession a certainty? No," said Dennis Hoffman, an economics professor at Arizona State University. The article cites several areas that show cooling, including the fact that consumers are spending less money, retail jobs are slowing, residential construction jobs are stalling and income growth could taper slightly. Compared with what's happening in other parts of the country, those are not dire developments. Economist argue that Arizona's economy, while still heavily dependent on construction, has diversified recently. Business services, finance and insurance sectors have grown sharply, said Hoffman, adding that a continuing population boom should grow health care and other related services. Austin Litvak, an economist at Moody's Economy.com, said "I would still expect Arizona to remain one of the fastest-growing economies in the nation despite the housing slowdown."

http://www.azcentral.com/arizonarepublic/business/articles/0318biz-economy0318.html