A Louisiana Economic Outlook report forecasts a sunnier job market in 2010 and 2011 than the current year — but one author of the report doesn’t expect that to change Louisiana’s poor migration pattern.Louisiana gained 301,000 residents from other states and lost 572,000 to other states from 2005 to 2007, the second worst ratio in the country, according to a Pew Research survey. The state with the lowest ratio of gained residents to lost residents is Alaska.Additionally, a report authored by sociology professor Troy Blanchard and Karen Paterson, state demographer, shows Louisiana had a net loss of people 25 and older with bachelor’s, graduate and professional degrees between 2007 and 2008. The findings aren’t Earth-shattering to political and economic observers in Louisiana — many of whom expect Louisiana to lose a Congressional seat and federal funding after results from the 2010 Census show a net population loss since 2000. “Generally speaking, migration flows go with the economy,” said Loren Scott, professor emeritus of economics and one of the authors of the 2010-11 LEO. When state economies are strong, residents tend to move in from other states and fewer residents want to leave. The migration pattern will reverse when the Louisiana economy improves, he said.And while Louisiana has performed better than most states during the recession — not experiencing a job loss until last April — many areas are still reeling from the effects of Hurricanes Katrina and Rita.This isn’t the first time Louisiana has experienced a net-migration loss.”In the early ’80s, Louisiana went through one of the worst recessions in its history,” Scott said. “When your economy is in a recession like that, people are going to leave.” Even the slightly optimistic job outlook in the LEO expects an employment rate lower than Louisiana’s 1980 level. ”New Orleans is just not coming back the way we would hope,” Scott said. He said uncertainty about future hurricanes and the levees — combined with a relatively poor public education system — is keeping large businesses from moving headquarters to the city.Lafayette and Houma — part of the “oil patch” — have two tough years ahead, the LEO said. Scott said some of President Barack Obama’s proposed taxes on oil companies have “chilled” oil companies in these areas, prohibiting future growth. Additionally, Louisiana’s close proximity to Texas hinders population growth to some degree because many are attracted to the number of Fortune 500 companies headquartered in Texas.”That’s a non-trivial attraction to young people,” he said. While the LEO had grim projections for some areas in Louisiana, others, including Baton Rouge, are expected to fare much better. Billions in construction and expanding firms will contribute to Baton Rouge’s economy, the LEO said.”BR is looking pretty good right now,” Scott said.Scott said he doesn’t expect Louisiana’s migration trend to reverse despite the more optimistic projection for 2010 and 2011. Kathleen Napolitano, anthropology senior, said she plans to move to Scotland after she graduates. She said Louisiana simply doesn’t offer the field she’s interested in studying — Scottish archeology. “Archeology here is boring,” she said. Erin Smith, elementary education sophomore, said she wants to stay in Louisiana after graduation to “stay close to family,” but the state’s poor education system bothers her. Contact Nate Monroe at [email protected]
La. economic report projects improvement for 2010-11
October 24, 2009