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Estimated growth in Kansas Personal Income revised downward
Topeka — When state officials met last week to revise revenue projections, they also revised the economic forecast for Kansas, and it wasn't good news.
Kansas Personal Income for this year is now expected to increase 2 percent over the 2012 level, which is down from the April estimate of 3.1 percent.
KPI growth for 2014 was projected at 3.5 percent, down from 4 percent forecast in April. The estimating group projected KPI to grow 4.4 percent in 2015.
U.S. Personal Income is expected to increase more than Kansas' all three years: 2.1 percent in 2013; 4.6 percent in 2014; and 5.1 percent in 2015.
"Although the U.S. economy is continuing its recovery from the Great Recession, the forecasted rate of growth remains slow," the memo from the Kansas Legislative Research Department and Kansas Division of the Budget said. "The impact of reduced federal spending as a result of the sequestration and additional uncertainty from ongoing policy stalemates in Washington have combined to provide a drag on growth," the memo said.