115th Year, 52nd Issue Thursday, August 5, 2004 Sparta, North Carolina

WNC Index continues to increase

Despite a decline in employment, Western North Carolina’s economy grew 0.2 percent to 109.1 in May, according to the Western North Carolina Economic Index and Report.

The index, which tracks economic activity in 25 western counties, has increased at a healthy annual rate of 5 percent since the beginning of the year. The index is compiled at Appalachian State University’s Walker College of Business.

Todd Cherry, an economics professor at Appalachian and one of the report’s authors, says job growth continues to be a weak link in the region’s economy.

“The region seems unable to build any momentum for job creation,” Cherry said. “Productivity gains and increased hours are continuing to allowing businesses to do more without hiring new employees.” For instance, manufacturing data for Asheville in May shows 13,900 workers employed in the manufacturing sector averaged a 46-hour workweek.

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