Published: June 10, 2008 07:25 pm      

Combs: Texas economy stronger than other nations

By Sherry Koonce

The Orange Leader

BEAUMONT — If the nation enters a recession, Texas will be in better fiscal shape than most other states, Susan Combs, Texas Comptroller of Public Accounts, said Tuesday.

Hosted by the Greater Beaumont Chamber of Commerce, Combs met with government officials and area business and community leaders during a forum to discuss the state and the region’s economic outlook.

Statewide, Combs said an increase in jobs and sales tax revenue combined with a healthier housing market are favorable economic indicators for the state’s economy.

“If Texas were its own country, we’d be the twelfth largest economy in the world,” she said.

Combs said she had just returned from a trip to China, where the Chinese marveled at the state’s healthy economy.

From April 2007 until April 2008, the state gained about 264,000 jobs — more than the next six top job growth states combined.

The next closest state is New York. The big job losers are Michigan, Florida and Wisconsin, she said.

Sales tax revenue, which accounts for the majority of the state’s general revenue source, is up 5.7 percent above last year. And, that number comes on the heels of a 12 percent increase the year before.

And, while much of the nation is reeling from a high number of housing foreclosures, Texas has not been severely impacted.

“Why are we doing well? Partly, because the state did not get into the grossly overpriced housing market,” she said.

Though sale prices of existing homes in Texas are up, new home permits are down, she said.

Non-residential construction is also on the upswing.