Economy sees December improvements in Midwest, but not in Kansas

? The Midwest economy took a slight turn for the better in December, according to a survey of business leaders in nine states.

In Kansas, though, the survey produced disappointing results.

The overall index rose to 52.5 in the monthly Mid-America Business Conditions Survey released Thursday, compared with 50.8 in November, said Creighton University professor Ernie Goss, who conducts the monthly survey.

With an index range from 0 to 100, index numbers below 50 indicate contraction in manufacturing, while numbers above 50 indicate expansion.

For Kansas, the overall index declined to 46.1 from November’s tepid 48.5. December readings of 50 for production, 40.9 for new orders, 50 for employment and 45.5 for inventories point to slow or no growth for the near term.

“Based on recent surveys from firms across the state, I expect the state to lose more jobs in the first half of 2003 with the unemployment rate rising slightly,” Goss said.

However, he predicted the economic overhang of the 2002 drought remains an economic unknown and a potential problem.