LINCOLN, Neb. (KOLN) - U.S. politicians from both sides are worried about a possible recession. From trade wars with China, to interest rate fluctuations, experts say there's a chance.
Agricultural exports can save Nebraska's economy during a recession. (Source: KOLN)
However, there's good news for Nebraskans. According to the U.S. Trade Representative, agriculture is what saved Nebraska during the 2007-2009 recession. The state's economy saw a dip, but beef, soybean, and corn exports are what experts say helped Nebraska get out earlier than the U.S. as a whole.
UNL's economics professor Eric Thompson told 10/11 NOW that a July report, done by the College of Business, shows good signs for the state's economy. The Leading Economic Indicator looks at several factors like building permits for homes, manufacturing work hours, unemployment insurance and business surveys.
Over the last two months, the value of the U.S dollar dropped, while Nebraska's economy grew two percent.
"I think there's clearly a link between the Nebraska agricultural economy and the metropolitan areas of the state, and when the [agriculture] economy is stronger, there's also some spillover benefits for Lincoln, Omaha, and the other metropolitan areas," said Thompson.
Thompson also mentioned the most recent evidence suggests Nebraska's economy should keep on growing in the next six months.
If the country falls into a recession, Thompson feels Nebraska should be okay. Thompson said on average, the state has a more educated population, and because of that, laid-off workers tend to quickly find new jobs.