Omaha, Nebraska — After another year filled with supply chain troubles and global health concerns, the economic outlook for 2022 in Iowa and for the Midwest isn’t rosy, according to Creighton University economist Ernie Goss.
The monthly Creighton survey of supply managers in Iowa and eight other states in the region is showing strong growth, but it’s bogged down by continued transportation troubles and labor shortages.
According to the U.S. Bureau of Labor Statistics, Iowa’s seasonally adjusted manufacturing employment rate was down by fewer than 500 jobs from October to November, or only about two-tenths of one percent. On the national front, the Gross Domestic Product is booming.
Goss says job gains for Iowa’s nondurable goods producers, including food processors, were more than offset in the past month by losses for the state’s durable goods manufacturers such as metal producers. Also, inflation levels are worsening and keeping prices on a wide range of products high. The region’s wholesale inflation gauge for November hit 92.9 on a zero-to-100 scale.
The survey’s overall Business Conditions Index for the Midwest, which also uses a zero-to-100 scale, dropped from 65.2 in October to 60.2 in November. The overall index for Iowa tumbled even further, from 67.8 in October to 59.4 in November.
