Economic Conditions Are Uncertain in the Midwest

by Will Bauer, NET News

June 3, 2019, 12:30 p.m.

Trade negotiations and flooding are taking a toll on the Midwest economy, according to one Nebraska economist.

Ernie Goss, professor of economics at Creighton University, said potential tariffs on Mexican imports and the spring flooding are limiting economic growth, specifically in Nebraska and Iowa.

“So all in all, we need some trade agreements, we need the threat of more tariffs to be removed from the table," Goss said. "It’s all about uncertainty right now and all about trade. And for this part of the country and for certain states, it has a lot to do with flooding right now.”

Goss is the creator of the Mid America Business Index, a survey of supply managers from a nine-state region in the Midwest. In the latest index, Nebraska’s numbers dropped from 53.8 or growth positive to 48.9 or growth negative on the 100-point scale.

The latest numbers for the entire nine-state region declined for the second straight month, but remain in the growth positive category at 54.3.