Juliete Tennert, the chief economist for the state of Utah, presented the Economic Report to the Governor at the Utah Economic Forum.

1. 2010 Annual Utah
Economic Review

2. Bureau of Economic and Business Research
Downtown Alliance
EDCUtah
Ivory Homes
Contributors Utah Foundation
University of Utah
Utah Defense Alliance
Utah State University
State Government Agencies
Department of Natural Resources
Department of Workforce Services
Governor’s Office of Economic Development
Office of the Legislative Fiscal Analyst
Utah Science, Technology, and Research Initiative
Utah State Office of Education
Utah State Tax Commission
Utah System of Higher Education

3. Governor’s Office of Planning & Budget
John Nixon, Executive Director
Phillip Jeffery, Deputy Director
Mike Mower, State Planning Coordinator
Contributors Demographic & Economic Analysis Section
Juliette Tennert
Walt Busse
Peter Donner
Nancy Grisél
Effie Johnson
David Stringfellow

4. Data Highlights
Important Factors
Overview
Challenges
Stabilizing Influences
Outlook

5. CREDIT DEFAULT SWAP: The buyer of a credit swap receives credit protection, whereas the seller of
the swap guarantees the credit worthiness of the product. By doing this, the risk of default is transferred from the
holder of the fixed income security to the seller of the swap.
Sources: Investopedia & Google News

6. QUANTITATIVE EASING: A government monetary policy occasionally used to increase the money
supply by buying government securities or other securities from the market. Quantitative easing increases the
money supply by flooding financial institutions with capital in an effort to promote increased lending and liquidity.
Sources: Investopedia & Google News

7. GREEN SHOOTS: A term used to describe signs of economic recovery or positive data during an
economic downturn.
Sources: Investopedia & Google News

8. Employment
Seasonally Adjusted Nonfarm Payroll Employment in Utah
December 2007
1.27 million
Source: Bureau of Labor Statistics

9. Employment
Total Decline in Nonfarm Payroll Employment from post-2005 Peak to November 2009
-4.6%
-2.5% -1.2% -5.3%
-4.6%
-7.3% -4.6%-3.4%
-6.8%
-1.7% -5.8% -3.3% -3.8%
-6.4% -11.8% -5.2%
-2.9% -3.7% -4.4%
-2.3%
-10% -6.2%
-5.1% -6.1% -6.6% -3.2%-6.9%
-6.6% -4.9% -2.8%
-4.7% -3.3% -3.4%
-6.1%
-6.1%
-5.7%
-3.2%
-10% -3.6% -2.6% -5.5%
-1.1% to -3.1%
-5.1% -5.7% -7.3%
-1.1%
-2.6% -3.2% to -5.0%
-2.2%
-9.2% -5.1% to -8.2%
-6.8%
-8.3% to -11.8%
Source: GOPB Analysis of Bureau of Labor Statistics Data

10. Employment
Change in Utah Employment by Industry: 2008 to 2009
Source: Utah Department of Workforce Services

11. Employment
Change in Utah Employment by Industry: November 2008 to November 2009
Total Government
Federal Government
Total Ed. & Health Services
Education
Source: Utah Department of Workforce Services

12. Employment
State Unemployment Rates: November 2009
9.2%
6.4% 8%
4.1%
7.4%
11.1% 6.4%6.7%
9.1%
5% 8.2% 8.6% 8.8%
7.2% 14.7% 8.2%12.7%
6.7% 8.5% 9.7%
4.5%
12.3% 10.6%
6.3% 10.9% 9.6% 7.4%8.5%
12.3% 6.9% 8.4%
6.3% 9.5% 6.6%
10.6%
10.8%
10.3%
7%
8.9% 7.8% 7.4% 12.3%
4.1% to 7.0%
9.6% 10.5% 10.2%
8.7%
8% 7.1% to 9.2%
6.7%
11.5% 9.3% to 11.8%
7%
11.9% to 15.9%
Source: GOPB Analysis of Bureau of Labor Statistics Data

13. Employment
Seasonally Adjusted Unemployment Rates in Utah and the US
Source: Bureau of Labor Statistics

14. Employment

15. Income
Annual Growth in Utah Average Annual Pay
Source: Utah Department of Workforce Services

16. Income
Annual Change in Total Personal Income
Source: Bureau of Economic Analysis

17. Housing Market
Median Existing Home Prices
NV
US
UT
Source: Moody’s Economy.com

18. Housing Market
Foreclosure Rates
NV 9.4%
US 4.5%
UT 3.0%
Source: Mortgage Bankers Association

19. Construction
Construction Employment as a Percent of Total Employment
Source: Bureau of Economic and Business Research

20. Construction
Utah Single Family Permit History
Source: University of Utah Bureau of Business & Economic Research

21. State Revenue
Inflation Adjusted Percent Change
in Combined General and School Fund Revenues
Source: Governor’s Office of Planning and Budget

22. State Revenue
365-day State Revenue Sum: Income Tax
$2.9
$2.8
$2.7
$2.6
$2.5
$2.4
$2.339
$2.3
$2.233
$2.2
JAN JUL JAN JUL JAN JUL
2008 2008 2009 2009 2010 2010
Source: Governor’s Office of Planning and Budget

23. State Revenue
365-day State Revenue Sum: Sales and Use Tax
$2.0
$1.9
$1.8
$1.7
$1.6
$1.547
$1.5
$1.428
$1.4
$1.3
$1.2
JAN JUL JAN JUL JAN JUL
2008 2008 2009 2009 2010 2010
Source: Governor’s Office of Planning and Budget

24. Targeted Stimulus

25. Industry Diversity
Hachman Index: Ten Most Diversified Economies in the Country
Source: GOPB Analysis of Bureau of Economic Analysis Data

26. International Trade
Source: U.S. Census Bureau

27. Population
Utah Components of Population Change
Source: Utah Population Estimates Committee

28. Economic Development
• City Creek Center
• Ebay Computer Center
• NSA Data Center
• Federal Courthouse
• Kennecott Molybdenum
Smelter
• Milford Wind Corridor
• Falcon Hill
• UTA FrontRunner South
and TRAX

29. Outlook
Source: State of Utah Revenue Assumptions Committee

31. Governor’s Office of
Planning and Budget
Utah State Capitol Complex
350 North State Street, Suite 150
Salt Lake City, UT 84114-2210
84114-
(801) 538-1027
538-
http://governor.utah.gov/dea
dea@utah.gov