“Not very good,” said David Abbey, describing the state’s economy. He switched to “bad” for further descriptions of matters such as job (non)growth.
Abbey, executive director of the Legislative Finance Committee (LFC), was in his traditional program start slot at the annual legislative outlook conference of the New Mexico Tax Research Institute. It was five days before Christmas.
Not that the state’s situation was good last summer, but things deteriorated between the August consensus forecast and December. The August forecast was 1.7 percent job growth during the current budget year, FY 17, that ends June 30, 2017. Zero was the December job growth forecast. The December forecast for wage and salary growth was 0.7 percent, a quarter of the August estimate. Gross state product growth now figures at 40 percent of the August forecast.