There are more signs that despite projections by some economists that we would show growth by the end of the year, we aren’t doing as well as some would have you believe.
The retail industry has posted its first quarterly drop since the recovery started five years ago. Earnings are expected to drop by an average of 6.1 percent for the Christmas season. Hank Lewis at Lone Star College says the weather is playing a big role.
“It’s been an extra cold winter. A lot of people aren’t going shopping. They’re staying at home,” Lewis explained.
But Lewis said there’s something else going on. And that something else is you keeping a close eye on your wallet.
“We’ve been clawing our way through the recovery. People are pinching pennies. People are looking for bargains, and if the stores aren’t offering them, they aren’t buying,” Lewis said.
So far, the impact in Houston and Texas hasn't been as harsh, but Lewis says that could change.
“Texas is weathering this much better than the rest of the country. But if there’s a major oil shock it could affect Texas as well. I don’t see that happening just yet, but it could,” Lewis stated.
In other words, it's not time to start worrying. Not yet, anyway. And as we told you a couple of weeks ago, some economists think we will show growth by the end of 2014.