Housing Bubble Rises Economic Output

San Fran & San Jose, 3% Growth expected

SAN FRANCISCO:
Economic output in the San Francisco and San Jose Metro Areas is expected to rise by over three percent this year.

The increase is being associated with California's housing bubble.

Along with California, metros in other housing bubble states such as Arizona and Florida are expected to make up 9 of the top 50 fastest growers in a report commissioned for the US Conference of Mayors.

Areas such as Tampa and Jacksonville are also expected to see more than a 3% rise in output this year.   

GROSS METROPOLITAN PRODUCT
The report, by IHS Global Insight ranks the area of 'San Francisco-Oakland-Fremont' at thirteenth with a GMP growth of 3.4 for 2013, and an expected growth of 2.9 next year.

The area of 'San Jose-Sunnyvale-Santa' Clara is ranked fourteenth with a GMP growth of 3.3, but with an expected growth of 3.6 for 2014. 

NATIONAL DIFFERENCE
However, this in stark contrast to the overall figures that show a different national trend, with one-third, or 119 of the nation's 363 U.S. metropolitan areas, cities and surrounding suburbs seeing stagnant or declining economies this year.  

METRO AREAS
In 2013, the nation’s metropolitan areas will contain 86% of total U.S. non-farm employment, 90% of real GDP and 85.7% of our country’s population

Things such as the impact of sequestration, the federal shutdown, and low growth in Europe has hindered US economic growth.

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