Abilene Economic Index reaches record high

ABILENE – The Abilene Economic Index rose to 120.1, an all-time high, in June 2013. The previous record high was 119.7 in May 2013, which barely passed the October 2007 milestone of 119.6. The index base is 100, set in January 2000.

“It’s my sense that when the state and national economies are performing reasonably well, the Abilene economy is in the midst of a steady growth period,” said Karr Ingham, an Amarillo economist and the creator of the Abilene Economic Index.

Home building was strong in June 2013 — permits were up 63 percent compared with June 2012. Construction value also went up, 22.9 percent from 2012’s value, the highest second quarter total since 2006.

The index also indicated Abilene’s sales tax receipts were up 1 percent in June 2013, from the receipts in June 2012, but the 2Q 2013 sales tax rebates were up nearly 6 percent compared with 2012.

Auto sales continued to improve in June 2013 with inflation-adjusted spending on new and used vehicles up by 5.4 percent — and up 3.8 percent in the first six months of 2013 compared with the first six months of 2012. This is the third consecutive year of growth in vehicle sales.

The number of closed home sales in June 2013 went up by 15.4 percent compared with June 2012; 8 percent up the first six months of 2013 versus the first six months of 2012. The average price during the same period also is up.

“On balance, the Abilene general economy was a growth economy in the first half of 2013. There is every reason at this point to believe that will continue to be the case for the balance of the year,” said Ingham.