KNOXVILLE—An abnormally harsh winter led to lackluster economic growth the first quarter of 2014, but a dip in unemployment rates and expected increases in housing investments signal stronger gains for the remainder of the year.
The gross domestic product is expected to increase 2.4 percent this year as a whole, compared to 1.9 percent last year, according to the spring 2014 Tennessee Business and Economic Outlook released Friday at the University of Tennessee in Knoxville.
The national unemployment rate will likely average 6.5 percent this year compared to 7.4 percent last year, the report shows. It is expected to decrease to 6 percent in 2015.
The study, prepared by UT’s Center for Business and Economic Research, predicts the direction of the state and national economies by examining many economic and fiscal factors and trends. [Read more…]