Wednesday, July 1, 2012
The ongoing drought -- combined with the global economic turmoil -- is hurting business in nine Midwest and Plains states and increasing worries about the possibility of another recession.
A report released Wednesday says July's Mid-America Business Conditions Index plunged below growth neutral for the first time since 2008. The index hit 48.7, compared with 57.2 in June.
Creighton University economist Ernie Goss oversees the survey, and he says the drought will hurt farm income and the strengthening dollar hurts exports.
The survey of business leaders and supply managers uses a collection of indexes ranging from zero to 100. Any score above 50 suggests growth while a score below 50 suggests decline for that factor.
The survey covers Arkansas, Iowa, Kansas, Minnesota, Missouri, Nebraska, North Dakota, Oklahoma and South Dakota.