Is The Recession Over in Texas?

Dallas-based bank Comerica Inc. reports that Texas is among the first states to come out of the recession that started in December of 2007, citing a quicker return of job growth.

Dana Johnson, chief economist at Comerica and author of the report, says she expects that those new jobs mean that state income from taxes should begin to grow again sometime in the next year.

Comptroller Susan Combs said on March 10 that Texas experienced an 8.8% decline in sales taxes from the previous year, collecting $1.6 billion. Sales taxes make up about half of the Texas general fund budget.

While unemployment peaked nationally at 10.1% in October of last year, Texas' unemployment rate stayed at 8.2%. The report said that the state's broad manufacturing base will help with a rebound in jobs. Manufacturing makes up about 13% of the state GDP.