LAS VEGAS -- The recession sank southern Nevada, with record unemployment and the nation's highest unemployment rate. But a new economic forecast suggests the state may be on the rebound. Tourism and gaming are showing slight improvements and that trend is expected to continue the next two years.
It is good news, but Nevada's success depends on the rest of the nation. Las Vegas is known as one of the premier tourists destinations in the world, and if the country's economy stalls, so will Nevada's.
"Whatever other industry does well in the nation, those people are going to come to Las Vegas for their vacations and gaming will do well as a result of that," said Dr. Stephen Brown with UNLV's Business & Economic Research Department.
More than 300 business professionals from across the Las Vegas valley heard the good, the bad and the ugly at the M Resort Wednesday. Retail and food service spending is up, along with an 11 percent increase in gaming. But real estate and construction continue to struggle.
Brown says small businesses like Exclusive Homes & Products are key to our recovery. Owner Jack Schofield says the outlook gives him confidence.
"They're speaking optimistically about how the economy is coming and that makes me feel good because I feel the same way. I don't believe in gloom and doom, I really think we need to think positive," he said.
Schofield says while his patio cover business is also struggling, he must give customers a reason to spend by offering a quality product and new marketing strategies.
UNLV economists say small businesses being more aggressive will help, but it will be another six months before we see any notable change in our economy. Because our economy is so reliant on gaming and hospitality, the recovery must be led by those sectors. Housing and commercial real estate will follow once growth starts in those areas.
