VALPARAISO | While the U.S. and Indiana economies have grown in the last year, the region's economic growth has been "a little dismal -- close to zero percent," according to a local economist.
The dire news was presented Friday by Micah Pollak, Indiana University Northwest assistant professor of economics, during his Northwest Indiana economic forecast at the 2015 Business Overview and Outlook at Ivy Tech Community College.
The conference drew dozens of industry leaders to focus on the “big picture” of Northwest Indiana’s business community. It also discussed how aspects of different industries can collaborate to improve the economic health of the Region overall.
It was coordinated by the Northwest Indiana Business Roundtable and the Construction Advancement Foundation.
Pollack said the Region's growth since 2005 "has not been phenomenal" although the rest of the state and the U.S. has jumped "very well."
One of the reasons for lack of growth is lack of steel production, Pollack said. About 14-15 percent was lost in February and March.
"Even though we gained some of it back we're still down 11 percent for the year," he said.
Pollack also said Northwest Indiana is drifting away from the more high-paying, high-skilled manufacturing/goods-producing jobs that have good benefits and a retirement plan and moving more toward retail sales and food service.
"It's a little bit of a challenge because the incomes are going to change as well," he said.
Pollack said bright spots in the forecast include the rise of Northwest Indiana residential building permits and the costs of construction.
A 1 percent economic growth rate is expected in the region in 2016 - much lower than the 2 or 3 percent normally expected.
"We'll take any growth," Pollack said. "Anything better than zero is good."
Don Babcock, the economic development director for NIPSCO and moderator for the conference said the region has an opportunity to move ahead.
"We have to educate our young people and then re-educate the rest of us to be able to step up to the plate and build the greatest products we can," he said. "We are in a phenomenal location here with the best assets of all of Indiana."