Hibbs Institute for Business and Economic Research

?? At the Hibbs Institute, we are committed to empowering the next generation of leaders through hands-on learning and research opportunities. Our internship program allows talented students to engage in real-world projects that make a lasting impact on East Texas. We are thrilled to spotlight our current interns, who are contributing their skills and passion to critical research projects: ???? Sara Maldonado, Junior Economics Major at UT Tyler, is evaluating financial literacy for first responders through her project, “Building Financial Resilience: A Comprehensive Evaluation of Financial Literacy for First Responders.” This project is a collaborative effort with the Center for Economic Education and Financial Literacy (Susan Doty). ???? Pedro Gallardo, Junior Economics Major at UT Tyler, is analyzing the key economic drivers of the East Texas region with his project, “Driving Growth: The Key Economic Drivers Powering the East Texas Economy.” ?? Luisa Moraes, Sophomore Finance Major at UT Tyler, is exploring the future of the labor market in East Texas with her research, “The Future of Work: Exploring Automation and Artificial Intelligence on the East Texas Labor Market.” At the Hibbs Institute, we are proud to support and contribute to the education of future economists and researchers. Stay tuned for more updates on these exciting projects! #HibbsInstitute #InternshipProgram #EastTexas #EconomicResearch

Hibbs Monitor Update - September 2024 ?? Here are the top highlights: ??On September 18, 2024, the Federal Reserve (Fed) cut the federal funds rate target by 0.5 percentage points to 4.75%–5.0%, marking the first rate cut following 11 consecutive rate hikes between March 2022 and July 2023. Source: https://lnkd.in/eZDQVU6J ?? The U.S. economy expanded by 3% in the second quarter, reflecting solid growth driven by consumer spending, private inventory investment, and nonresidential fixed investment. ?In the first quarter, real GDP increased 1.6 percent (revised). Source: https://lnkd.in/eTdNBsHb ?? The Tyler Metropolitan Statistical Area (MSA) saw a steady increase of 1,676 jobs, showcasing local economic growth at 0.6%. Source: https://lnkd.in/gAkPSkwm ?? Texas collected $6.7 billion in taxes, indicating healthy consumer activity, with sales tax being the largest contributor. Source: https://lnkd.in/gBFxziuD #HibbsMonitor #TexasEconomy #InterestRates #JobGrowth

Hibbs Monitor Update - September 2024 ?? Here are the top highlights: ??On September 18, 2024, the Federal Reserve (Fed) cut the federal funds rate target by 0.5 percentage points to 4.75%–5.0%, marking the first rate cut following 11 consecutive rate hikes between March 2022 and July 2023. Source: https://lnkd.in/eZDQVU6J ?? The U.S. economy expanded by 3% in the second quarter, reflecting solid growth driven by consumer spending, private inventory investment, and nonresidential fixed investment. ?In the first quarter, real GDP increased 1.6 percent (revised). Source: https://lnkd.in/eTdNBsHb ?? The Tyler Metropolitan Statistical Area (MSA) saw a steady increase of 1,676 jobs, showcasing local economic growth at 0.6%. Source: https://lnkd.in/gAkPSkwm ?? Texas collected $6.7 billion in taxes, indicating healthy consumer activity, with sales tax being the largest contributor. Source: https://lnkd.in/gBFxziuD #HibbsMonitor #TexasEconomy #InterestRates #JobGrowth

As we celebrate Hispanic Heritage Month, it’s important to recognize the growing influence of the Hispanic community in Smith County and its vital role in shaping our future. Hispanic Heritage Month honors the history, culture, and contributions of Hispanic Americans, and locally, we’re seeing this impact firsthand in the community. Over the past ten years, Smith County’s overall population has grown by 13.5%, with 5.7% of that growth attributed to the Hispanic community. As of 2023, Smith County has a Hispanic population of 45,089, accounting for 21.1% of the total population. The Mexican descent comprises 87% of overall Hispanic population with the remaining 13% including individuals of Cuban, Puerto Rican, and other Hispanic origins. This demographic shift highlights not only the cultural diversity present in the county but also the key role of Hispanic residents to the workforce, local businesses, and the cultural fabric of Smith County. By celebrating and supporting the Hispanic community, we can build a stronger, more vibrant Smith County for all. Special thanks to Sara Maldonado (Hibbs Institute Intern) for contributing to this analysis. #HispanicHeritageMonth #PopulationGrowth #Diversity

Big decision tomorrow ? The Federal Reserve is meeting today and tomorrow. They will make an important decision regarding the current interest rates. It is expected they cut interest rates for the first time in four years, marking a shift from the aggressive inflation-fighting stance it has held since the 1980s. This upcoming rate cut, likely to bring the range to 5.0%-5.25%, signals the end of a period of high rates and opens a new era of easier monetary policy that could last into 2025-2026. The purpose is to lower borrowing costs for both consumers and businesses, making it easier to purchase homes, cars, and other essentials. Businesses will also find it more accessible to secure loans, which may fuel economic activity. ?? The Fed's decision comes amid signs that inflation is cooling, with the Consumer Price Index (CPI) showing steady declines over the last several months. Core inflation rose by 3.2% in August, reflecting a downward trend from earlier in the year. As inflation expectations drop, the #Fed is confident it can begin lowering rates. At the same time, job growth has slowed, with employment gains consistently lower than the previous year's average, prompting the #Fed to balance inflation control with concerns over the labor market. Looking ahead, #Fed officials will release forecasts on economic indicators, and Chair Jerome Powell will likely outline plans for future cuts, possibly signaling larger reductions depending on economic conditions. However, the focus on a gradual approach to rate cuts seems to be the consensus among experts. While concerns about a potential recession linger, the rebound in employment numbers suggests the labor market may still avoid a downturn. #InterestRate #Fed #UnitedStates

Exciting Update from the Hibbs Institute! ?? We’re thrilled to announce the launch of our Hibbs Institute Students Internship Pilot Program at University of Texas at Tyler – Fall 2024! This semester, three bright students are getting hands-on experience working on real projects related to the East Texas region. Plus, one of our interns will be collaborating with the CEEFL Center for Economic Education and Financial Literacy. ?? The goal of this internship is to give students the skills they need to stand out in the job market. They’ll be developing essential abilities like: ?? Collecting and analyzing economic data. ?? Writing reports focused on economic trends in East Texas. Under the leadership of Dr. Manuel Reyes-Loya and Dr. Cecilia Cuellar, the students had their first training session last Friday, where they started learning how to gather and present economic insights. It’s just the beginning of a great learning journey! ?? Keep an eye out for more updates as we introduce our interns and share the exciting projects they’re working on! ?? #HibbsInstitute #Internship #EastTexasEconomy #BuildingTheFuture #EconomicDevelopment

Hibbs Brief: Remote Jobs – A Growing Trend in East Texas ???? In the latest Hibbs Brief, Dr. Manuel Reyes-Loya and Dr. Cecilia Cuellar explore the rise of remote work and its impact on labor market dynamics. Sectors like Information, Finance, and Business Services lead the trend nationally. In Texas, Smith County stands out with a 39% increase in remote job postings since 2020. This highlights the region’s ability to adapt to evolving work models. For more insights, visit Hibbs Briefs. https://lnkd.in/gncuD_Tv

?? August 2024 - The Hibbs Monitor Economic Highlights ??U.S. Economy on the Move: ?? Unemployment Rate: Steady at 4.3% in July 2024, showcasing a resilient labor market. Link: https://lnkd.in/gEgv-TUR ?? GDP Growth: The economy increased with a solid 3.0% annual growth rate in Q2 2024. Link: https://lnkd.in/dkJwbk9y ?? Inflation Watch: Consumer prices ticked up by 0.2% in July, signaling a cautious but steady rise in the cost of living. Link: https://www.bls.gov/cpi/ ?? Fed’s Stance: ?? Interest Rates: The Federal Reserve is holding firm with rates between 5.25% and 5.50% to keep inflation in check while fueling growth. Link: https://lnkd.in/d7EqRMW ?? Labor Market Insights: ?? Job Gains: July saw a boost with 114,000 new jobs, further solidifying the labor market’s strength. Link: https://lnkd.in/gEgv-TUR ?? Mortgage Rates in Focus: ?? Housing Market: 30-year mortgage rates are at 6.35%, with 15-year rates at 5.51%—key figures for anyone eyeing the housing market. Link: https://lnkd.in/dewSAVAZ ?? Spotlight on Texas & Tyler MSA: ?? Tax Collections: Texas collected $7.3B in July, with sales tax in Tyler represented $6.1M in August. https://lnkd.in/gBFxziuD ?? Employment Trends: While Texas saw a slight dip in job growth at -1.2%, the Tyler MSA bucked the trend with a 2.8% rise, adding 1,170 jobs year-over-year. https://lnkd.in/gAkPSkwm #KeyTakeaway: The U.S. economy continues to demonstrate strength with robust GDP growth, a stable labor market, and cautious inflation. Meanwhile, Texas and the Tyler MSA highlight the diverse economic dynamics within the region. #Economy #JobsReport #GDPGrowth #Inflation #HousingMarket #TexasEconomy #LinkedInInsights

The Hibbs Monitor updated ? ?- July 2024 ? ???Key takeaways: ? ??? Consumer Price Index (CPI) ?? ?The U.S. Bureau of Labor Statistics announced that the Consumer Price Index for All Urban Consumers (CPI-U) experienced a 0.1% drop on a seasonally adjusted basis in June, following an unchanged report for May. The gasoline index, which was 3.6% in May, saw an additional drop of 3.8% in June, which largely offset the increase in shelters. Despite this, certain structural indices, particularly for food away from home and food at home, continued to increase. The food away from home index recorded a 0.4% increase over the month, whereas the food at home index exhibited a 0.1% increase. ?? BLS Release: https://lnkd.in/eMBVijz? ?? Gross Domestic Product (GDP)??? According to the "advance" estimate released by the U.S. Bureau of Economic Analysis, real GDP increased at an annual rate of 2.8 percent in the second quarter of 2024, which is higher compared to the 1.4 percent increase in the first quarter. This increase was largely due to higher consumer spending, private inventory investment, and non-residential fixed investment. ?? BEA Release: https://lnkd.in/ddfCjd82 ?? Federal Fund Rate (or Interest Rate)??? The Federal Open Market Committee (FOMC) announced that it would keep the federal funds rate within the 5-1/4 to 5-1/2 percent range. The FOMC stated that it would carefully evaluate any changes in the federal funds rate by considering incoming data, shifting economic circumstances, and the overall balance of risks. The FOMC emphasized that it would not consider reducing the federal funds rate until it had a more confident outlook that inflation would remain on a steady path toward the 2 percent target. ?? FOMC statement: https://lnkd.in/dHNqkBvC

We are honored to have been part of one of the final interviews at #KVUT with the esteemed Mike Landess. Despite KVUT's closure, Mike graciously shared this interview with us, exemplifying his constant support and dedication. Mike, thank you for your incredible professionalism and for giving us this platform to highlight the work we do at the Hibbs Institute. Your contributions to the community have been invaluable, and it was a true privilege to work with you. To everyone at #KVUT, your hard work and commitment over the years have left a lasting legacy. Here is part 1 of 2 of our interview discussing housing affordability. #Broadcasting #Community #KVUT #HousingAffordability