January reports for monthly economic indicators (represents December updates and 2012 data)

•Unemployment rate increases, while the number of employed decreases. The number of auto manufacturing and auto parts manufacturing employees also decreased from November to December (monthly)
•Purchasing manager’s index remains steady (monthly)
•Commodity price index increases (monthly)
•Consumer price index changes decrease for all and all items less food and energy (bi-monthly)
•Building permits decrease for Oakland and Macomb counties, remain steady for Wayne County (monthly)
• Detroit building permits remain steady at 0, demolitions decrease (monthly)
Econ1

According to the most recent data provided by the Michigan Department of Technology, Management and Budget, the jobless rate for the month of December was at 18.2 percent in Detroit; it was at 8.9 percent for the state. While the state’s jobless rate remained the same from November to December, it increased by .6 percent in Detroit in that same time period.

Econ2

The number of employed in the city of Detroit decreased by 1,677 people from November to December. From October to December there was a loss of 3,364 employed people. From the month of July to October those there was an increase in 4,822 employees. This time frame represented the highest growth of employed in the city of Detroit during 2012.

Econ3

The above chart shows the number of people employed in the auto industry in the Detroit Metropolitan Statistical Area throughout 2012. Employment peaked in March, with 80,300 people being employed in both the auto manufacturing and auto parts manufacturing industries. July had the lowest number of auto employees with 75,200. Employment numbers increased from there and by December there were 78,200; this was a slight decrease from November though.

Econ4

According to the most recent data released on South Eastern Michigan’s Purchasing Manager’s Index, the number decreased by .1 point from November to December; in December it was recorded at 51.8. The Purchasing Manger’s Index (PMI) is a composite index derived from five indicators of economic activity: new orders, production, employment, supplier deliveries, and inventories; a PMI above 50 means the economy is expanding. The PMI of 51.8 means the economy continues to expand.

econ5

The Commodity Price Index, which is a weighted average of selected commodity prices for Southeast Michigan, has fluctuated throughout 2012. Most recently though, from November to December it increased from 51.4 to 54.5 The 54.5 score in December of 2012 is 4.5 points above where the Commodity Price Index was in December of 2011.

Econ6

Econ7

The Consumer Price Index, which is reported every two months, decreased .7percent from October to December and decreased.9 percent from December 2011 to December 2012 in the Detroit-Ann Arbor-Flint area. The Consumer Price Index measures the change in prices in a fixed market. The prices which are measured are based on prices of “food, clothing, shelter, fuels, transportation fares, charges for doctors’ and dentists’ services, drugs, and the other goods and services that people buy for day-to-day living,” according to the Bureau of Labor Statistics. Lower prices for energy (a 5.9 percent decrease) and a .1 percent increase in the food index were noted for the change.

The Consumer Price Index, minus the prices of energy and food, shown in the second Consumer Price Index graph, decreased by .1 percent from October to December. There were lower prices for recreation, household furnishings, and operations, according to the BLS.

Econ8

The above chart shows the number of residential building permits obtained each month in Oakland, Macomb, and Wayne counties. These numbers are reported by local municipalities to the Southeastern Michigan Council of Governments and include single family, two family, attached condo, and multi-family units. While the numbers reported in all three counties have not followed a specific month-to-month trend, the number of building permits pulled in Oakland County has remained the highest, with the exception of March and July. In July, the number of building permits pulled in Wayne County (229 permits) was higher than the number of permits pulled in Oakland County (195 permits) and Macomb County (154). The number of permits pulled in Wayne County in July was also the highest for the county in 2012.

From October to December all three counties saw a decrease in the number of permits pulled. From November to December though, the number pulled in Wayne County was fairly consistent , only increasing from 46 to 47. In the same time period, the number of residential building permits in Oakland County decreased from 154 to 126 and in Macomb County in decreased from 83 to 48.

Econ9

The chart above reflects the number of residential building permits pulled in the city of Detroit and the number of demolitions completed. As can be seen, the number of demolitions is consistently higher than the number of building permits pulled, with the exception of January. In January of 2012 an equal number of demolitions occurred as the number of building permits pulled, 41. Since then though, the number of demolitions taking place as increased with the number of building permits being pulled only slightly increasing on occasion. From October to December 0 building permits were pulled and  1,113 demolitions took place.

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One Response to “January reports for monthly economic indicators (represents December updates and 2012 data)”

  1. A different view: Economic indicators | Drawing Detroit Says:

    […] one of our viewers, Andinda Veltrop. This post correlates with our most recent Economic Indicators post and provides a viewer a different way to visualize the data we […]

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