Profiles and Trends of the Appalachian Highlands Dr. Jon ... · 9/10/2019  · Profiles and Trends...

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Profiles and Trends of the Appalachian Highlands Dr. Jon Smith and Dr. Brian Noland East Tennessee State University September 10, 2019

Transcript of Profiles and Trends of the Appalachian Highlands Dr. Jon ... · 9/10/2019  · Profiles and Trends...

  • Profiles and Trends of the Appalachian HighlandsDr. Jon Smith and Dr. Brian Noland

    East Tennessee State UniversitySeptember 10, 2019

  • • Foundational constructs of economic development

    • Data profile of the region

    • The importance of data, research, and strategic planning

    Presentation Overview

  • • In the Knowledge Economy, education, technology, and learning are the keys to sustainable economic growth, and the foundation of such growth is higher education.

    • In order to remain competitive, states must work to develop policies that incorporate human, intellectual, and financial capital.

    • Predicated on human capital theory

    Public and private benefits from human capital investments.

    Based on the notion that education increases the human capital stock of individuals, improves their productivity, leads to increases in economic productivity, and contributes to the general betterment of society. (Denison 1983; Walberg and Zhang 1998).

    The advancement of educational attainment has become an indispensable variable in policy efforts to make improvements of society as a whole.

    The Knowledge Economy and Human Capital Theory

  • AK

    AR

    DE

    GA

    HIIL

    IN IAKS

    LAME

    MDMA

    MTNE

    NV NJ

    NY

    NC ND

    OHOK

    ORPARI

    SCSD

    VT

    VA

    WA

    US

    AL

    CA

    CO

    CT

    FL

    IDKY

    MIMN

    MS

    MONH

    NMTN

    TX

    UTWV

    WI

    WY

    $15,000

    $22,000

    $29,000

    $36,000

    $43,000

    $50,000

    10 15 20 25 30 35 40 45

    AZ

    Personal Income

    Per Capita

    Percent of Adults Age 25-64 with Bachelor’s Degrees

    1980

    Correlation = 0.64

    Source: U.S. Census Bureau, Decennial Census’ and American Community Survey

    Educational Attainment and Income

  • Source: U.S. Census Bureau, Decennial Census’ and American Community Survey

    Educational Attainment and Income 1990

    AK

    AR

    DE

    GA

    HI

    IL

    IN IAKS

    LA

    ME

    MD MA

    MT

    NE

    NV

    NJ

    NY

    NC

    ND

    OH

    OK

    OR

    PA RI

    SC SD

    VT

    VAWA

    US

    AL

    CA

    CO

    CT

    FL

    IDKY

    MI

    MN

    MS

    MO

    NH

    NM

    TNTX

    UTWV

    WIWY

    $15,000

    $22,000

    $29,000

    $36,000

    $43,000

    $50,000

    10 15 20 25 30 35 40 45

    AZ

    1990

    Personal Income

    Per Capita

    Percent of Adults Age 25-64 with Bachelor’s Degrees

    Correlation = 0.76

  • Source: U.S. Census Bureau, Decennial Census’ and American Community Survey

    Educational Attainment and Income 2000

    AK

    AR

    DE

    GA HI

    IL

    INIA

    KS

    LA

    ME

    MD

    MA

    MT

    NE

    NV

    NJ

    NY

    NC

    ND

    OH

    OK

    OR

    PA RI

    SC

    SD

    VT

    VAWA

    US

    AL

    CA

    CO

    CT

    FL

    IDKY

    MI

    MN

    MS

    MO

    NH

    NM

    TN

    TX

    UT

    WV

    WIWY

    $15,000

    $22,000

    $29,000

    $36,000

    $43,000

    $50,000

    10 15 20 25 30 35 40 45

    AZ

    2000

    Personal Income

    Per Capita

    Percent of Adults Age 25-64 with Bachelor’s Degrees

    Correlation = 0.80

  • Source: U.S. Census Bureau, Decennial Census’ and American Community Survey

    Educational Attainment and Income 2015

    AK

    AZ

    AR

    DE

    GA

    HI

    IL

    IN IAKS

    LA

    ME

    MD

    MA

    MT

    NE

    NV

    NJ

    NY

    NC NDOH

    OK

    OR

    PA RI

    SC

    SD VT

    VA

    WAUS

    AL

    CACO

    CT

    FL

    IDKY

    MI

    MN

    MS

    MO

    NH

    NM

    TNTX

    UTWV

    WI

    WY

    $15,000

    $22,000

    $29,000

    $36,000

    $43,000

    $50,000

    10 15 20 25 30 35 40 45

    2015

    Personal Income

    Per Capita

    Percent of Adults Age 25-64 with Bachelor’s Degrees

    Correlation = 0.83

  • SOURCE: SREB Factbook (2019)

    Annual Salaries of Adults by Educational Level(25 or older 2017)

  • Unemployment Rate by Education Level

    1.5%

    1.5%

    2.2%

    2.5%

    3.4%

    4.0%

    4.6%

    6.5%

    3.6%

    0.0% 1.0% 2.0% 3.0% 4.0% 5.0% 6.0% 7.0%

    Doctoral degree

    Professional degree

    Master's degree

    Bachelor's degree

    Associate degree

    Some college, no degree

    High school diploma, no college

    Less than a high school diploma

    Total

    2017 Unemployment rate

    Source: U.S. Bureau of Labor Statistics, Current Population Survey.

  • SOURCE: SREB Factbook (2019)

    Projected Increases in Employment by Education Required (2016 to 2026)

  • 1990 1995 2000 2005 2017 % Change

    United States 20.3% 23.0% 24.4% 27.2% 32.0% 11.7%SREB States 18.6% 19.9% 22.4% 23.8% 29.6% 11.0%

    Alabama 15.7% 17.3% 19.0% 21.4% 25.5% 9.8%Arkansas 13.3% 14.2% 16.7% 18.9% 23.4% 10.1%Delaware 21.4% 22.9% 25.0% 27.6% 31.5% 10.1%Florida 18.3% 22.1% 22.3% 25.8% 29.7% 11.4%Georgia 19.6% 22.7% 24.3% 27.1% 30.9% 11.3%Kentucky 13.6% 19.3% 17.1% 19.3% 24.0% 10.4%Louisiana 16.1% 20.1% 18.7% 20.6% 23.8% 7.7%Maryland 26.5% 26.4% 31.4% 34.5% 39.7% 13.2%Mississippi 14.7% 17.6% 16.9% 18.7% 21.9% 7.2%North Carolina 17.4% 20.6% 22.5% 25.1% 31.3% 13.9%Oklahoma 17.8% 19.1% 20.3% 22.4% 25.5% 7.7%South Carolina 16.6% 18.2% 20.4% 23.0% 28.0% 11.4%Tennessee 16.0% 17.8% 19.6% 21.8% 27.3% 11.3%Texas 20.3% 22.0% 23.2% 25.1% 29.6% 9.3%Virginia 24.5% 26.0% 29.5% 33.2% 38.7% 14.2%West Virginia 12.3% 12.7% 14.8% 16.9% 20.2% 7.9%

    Percentage of Population 25 or Older with a Bachelor's Degree (Full Census and American Community Survey)

    Educational Attainment - SREB States

    Sheet1

    Percentage of Population 25 or Older with a

    Bachelor's Degree (Full Census and American Community Survey)

    194019501960197019801990199519992000200220052017% Change

    United States4.6%6.0%7.7%10.7%16.2%20.3%23.0%25.2%24.4%24.4%27.2%32.0%11.7%

    SREB States3.8%5.1%6.9%9.7%14.9%18.6%19.9%21.7%22.4%22.8%23.8%29.6%11.0%

    Alabama2.9%3.7%5.7%7.8%12.2%15.7%17.3%21.8%19.0%20.6%21.4%25.5%9.8%

    Arkansas2.3%3.2%4.8%6.7%10.8%13.3%14.2%17.3%16.7%19.7%18.9%23.4%10.1%

    Delaware5.3%7.5%10.0%NANA21.4%22.9%24.0%25.0%25.1%27.6%31.5%10.1%

    Florida5.0%6.5%7.8%10.3%14.9%18.3%22.1%21.6%22.3%24.1%25.8%29.7%11.4%

    Georgia3.3%4.6%6.2%9.2%14.6%19.6%22.7%21.5%24.3%24.4%27.1%30.9%11.3%

    Kentucky3.0%3.9%4.9%7.2%11.1%13.6%19.3%19.8%17.1%18.8%19.3%24.0%10.4%

    Louisiana3.5%4.8%6.7%9.0%14.5%16.1%20.1%20.7%18.7%20.4%20.6%23.8%7.7%

    Maryland4.9%7.2%9.3%13.9%20.4%26.5%26.4%34.7%31.4%33.1%34.5%39.7%13.2%

    Mississippi3.1%3.9%5.6%8.1%12.3%14.7%17.6%19.2%16.9%17.7%18.7%21.9%7.2%

    North Carolina4.1%5.1%6.3%8.5%13.2%17.4%20.6%23.9%22.5%23.4%25.1%31.3%13.9%

    Oklahoma4.8%6.3%7.9%10.0%15.1%17.8%19.1%23.7%20.3%20.7%22.4%25.5%7.7%

    South Carolina4.7%5.5%6.9%9.0%13.4%16.6%18.2%20.9%20.4%22.7%23.0%28.0%11.4%

    Tennessee3.1%4.1%5.5%7.9%12.6%16.0%17.8%17.7%19.6%21.0%21.8%27.3%11.3%

    Texas4.4%6.2%8.0%10.9%16.9%20.3%22.0%24.4%23.2%24.5%25.1%29.6%9.3%

    Virginia4.5%6.5%8.4%12.3%19.1%24.5%26.0%31.6%29.5%31.7%33.2%38.7%14.2%

    West Virginia3.4%4.4%5.2%6.8%10.4%12.3%12.7%17.9%14.8%16.1%16.9%20.2%7.9%

    Sheet2

    Sheet3

  • Percent of Adult Population with a High School Degree

    Red = Most critical 300 counties

    Green = Least critical 300 counties

    Average for TN: 87.8%

    Average for US: 88.0%

  • Percent of Working Age Adult Population with an Associate Degree or Higher

    Red = Most critical 300 counties

    Green = Least critical 300 counties

    Average for TN: 35.9%

    Average for US: 41.7%

  • Percent of Adult Population with a Bachelor’s Degree or Higher

    Red = Most critical 300 counties

    Green = Least critical 300 counties

    Average for TN: 27.3%

    Average for US: 32.0%

  • Median Household Income

    Red = Most critical 300 counties

    Green = Least critical 300 counties

    Average for TN: $55,240

    Average for US: $61,372

  • State Public Health Rankings

    Source: United Health Foundation.

  • Opioids Prescribed Per Capita (2015)

    Source: Tennessee Department of Mental Health & Substance Abuse Services

  • Source: Tennessee Department of Mental Health & Substance Abuse Services

    The Story of Addiction in Tennessee

  • Selected Data – TN Regional Profile

    County Adult SmokingAdult

    Obesity%

    Uninsurred% Children in Poverty

    Median Household

    Income

    Adults with HS +

    Adults w/ BA +

    Population Projections (2012-26)

    State Avg - Tennessee 22 33 11 21 $51,319 88.7 27.6 8.2Carter 24 36 11 29 $39,725 86.1 16.5 -3.3Greene 22 36 11 25 $40,145 86.6 15.7 2.8Hancock 26 31 12 45 $29,689 80.6 8.7 -4.9Hawkins 21 33 11 26 $41,397 86 12.9 -0.7Johnson 24 31 12 33 $36,331 80.6 11.7 -0.5Sullivan 22 33 10 24 $54,224 88.7 23.4 -0.7Unicoi 22 34 13 25 $41,188 87.8 14.5 0.4Washington 21 30 10 19 $43,194 91.8 34.3 8

    For almost every county across the region, performance across key indicators yields outcomes

    below state and national averages.

    Sheet1

    CountyAdult SmokingAdult Obesity% Uninsurred% Children in PovertyMedian Household IncomeAdults with HS +Adults w/ BA +Rate of Population Growth (2012-16)Population Projections (2012-26)

    State Avg - Tennessee22331121$51,31988.727.63.18.2

    Carter24361129$39,72586.116.5-1.4-3.3

    Greene22361125$40,14586.615.7-0.12.8

    Hancock26311245$29,68980.68.7-1.5-4.9

    Hawkins21331126$41,3978612.90-0.7

    Johnson24311233$36,33180.611.7-2-0.5

    Sullivan22331024$54,22488.723.40.1-0.7

    Unicoi22341325$41,18887.814.5-2.80.4

    Washington21301019$43,19491.834.328

  • Real Gross Domestic Product Growth

  • 0

    20000

    40000

    60000

    80000

    100000

    120000

    2001

    2002

    2003

    2004

    2005

    2006

    2007

    2008

    2009

    2010

    2011

    2012

    2013

    2014

    2015

    2016

    2017

    MSA REAL GDP

    Johnson City Kingsport Asheville Chattanooga Knoxville Nashville

    Real GDP Growth – MSA Comparisons

    Source: Bureau of Economic Analysis - St. Louis Federal Reserve Bank

  • 0

    5000

    10000

    15000

    20000

    25000

    30000

    35000

    40000

    2001

    2002

    2003

    2004

    2005

    2006

    2007

    2008

    2009

    2010

    2011

    2012

    2013

    2014

    2015

    2016

    2017

    MSA REAL GDP

    Johnson City Kingsport Asheville

    Chattanooga Knoxville-10.00%

    -5.00%

    0.00%

    5.00%

    10.00%

    15.00%

    20.00%

    25.00%

    30.00%

    35.00%

    40.00%

    45.00%

    US

    Johnson City

    Kingsport

    Asheville

    Chattanooga

    Knoxville

    Nashville

    16.09%

    4.01%

    -6.29%

    22.52%

    11.48%

    12.92%

    41.17%

    % in MSA Total Real GRP2010 to 2017

    Real GDP Growth – MSA Comparisons

    Source: Bureau of Economic Analysis - St. Louis Federal Reserve Bank

  • -10.00%

    -5.00%

    0.00%

    5.00%

    10.00%

    15.00%

    20.00%

    25.00%

    US

    Johnson City

    Kingsport

    Asheville

    Chattanooga

    Knoxville

    Nashville

    18.08%

    2.43%

    -5.42%

    14.25%

    6.00%

    7.98%

    24.31%

    % Change in MSA Real GDP Per Capita2010 to 2017

    0

    10000

    20000

    30000

    40000

    50000

    60000

    70000

    1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17

    MSA REAL GDP PER CAPITA

    Johnson City Kingsport Asheville

    Chattanooga Knoxville Nashville

    Real GDP Growth Per Capita – MSA Comparisons

    Source: Bureau of Economic Analysis - St. Louis Federal Reserve Bank

  • Civilian Employment Level

  • -100000

    100000

    300000

    500000

    700000

    900000

    1100000

    2001

    2002

    2003

    2004

    2005

    2006

    2007

    2008

    2009

    2010

    2011

    2012

    2013

    2014

    2015

    2016

    2017

    2018

    Johnson City Kingsport Asheville

    Chattanooga Knoxville Nashville

    0.00%

    5.00%

    10.00%

    15.00%

    20.00%

    25.00%

    30.00%

    US

    Johnson City

    Kingsport

    Asheville

    Chattanooga

    Knoxville

    Nashville

    12.01%

    2.04%0.43%

    18.91%

    10.81%

    7.48%

    26.44%

    % Change in MSA Civilian Employment2010 to 2018

    Civilian Employment – MSA Comparisons

    Source: Bureau of Labor Statistics – Local Area Unemployment Statistics

  • Percent Change in County Employment2010 to 2018

    Source: US Bureau of Labor Statistics CPS Data

    For almost every county within the region, there was flat to declining job growth across industry sectors for the decade.

  • -100000

    100000

    300000

    500000

    700000

    900000

    1100000

    2001

    2002

    2003

    2004

    2005

    2006

    2007

    2008

    2009

    2010

    2011

    2012

    2013

    2014

    2015

    2016

    2017

    2018

    Johnson City Kingsport Asheville

    Chattanooga Knoxville Nashville -7.00%

    -2.00%

    3.00%

    8.00%

    13.00%

    18.00%

    US

    John

    son

    City

    King

    spor

    t

    Ashe

    ville

    Chat

    tano

    oga

    Knox

    ville

    Nas

    hvill

    e

    5.32%

    -4.10%-5.26%

    11.69%

    4.73%

    1.67%

    18.76%

    % Change in MSA Civilian Labor Force2010 to 2018

    Civilian Workforce – MSA Comparisons

    Source: Bureau of Labor Statistics – Local Unemployment Statistics

  • Percent Change in County Labor Force2010 to 2018

    Almost every county within the region experienced flat to declining labor force participation rates throughout this decade.

    Source: US Bureau of Labor Statistics CPS Data

  • Net Migration by Age Signature – Tennessee

  • Net Migration by Age Signature – Nashville MSA

  • De

    Net Migration by Age Signature –Johnson City MSA

  • Migration by Age Signature: Kingsport-Bristol MSA

  • Asheville MSA (4 Counties)

    YearStarting

    populationEnding

    populationTotal

    ChangePercent change

    Natural increase Net migration

    2000 - 2008 370,615 417,457 46,842 12.64% 2,016 44,8262008 - 2017 417,457 456,145 38,688 9.27% -1,554 40,776

    Johnson City MSA (3 Counties)

    YearStarting

    populationEnding

    populationTotal

    ChangePercent change

    Natural increase Net migration

    2000 - 2008 181,944 196,242 14298 7.86% 242 14,0562008 - 2017 196,242 202,053 5811 2.96% -1,263 8,017

    Kingsport MSA (5 Counties)

    YearStarting

    populationEnding

    populationTotal

    ChangePercent change

    Natural increase Net migration

    2000 - 2008 298,534 308,069 9,535 3.19% -1,979 11,5142008 - 2017 308,069 306,659 -1,410 -0.46% -6,258 5,204

    Knoxville MSA (9 Counties)

    YearStarting

    populationEnding

    populationTotal

    ChangePercent change

    Natural increase Net migration

    2000 - 2008 679,999 753,517 73,518 10.81% 13,682 59,8362008 - 2017 753,517 804,626 51,109 6.78% 9,242 42,264

  • 37.0%

    36.8%36.5%

    36.3%36.1% 36.0%

    35.9%

    35.6% 35.7%

    40.7%

    39.7%39.4%

    39.1%

    39.1%39.0%

    38.7%38.5%

    38.2%

    37.1%

    36.2%

    35.8%

    35.3%

    35.1%

    34.8%34.7%

    34.4% 34.3%

    41.0%

    40.4%

    40.1%

    39.8%

    38.9%38.7%

    38.5%

    38.4%

    38.3%

    34.0%

    35.0%

    36.0%

    37.0%

    38.0%

    39.0%

    40.0%

    41.0%

    2009 2010 2011 2012 2013 2014 2015 2016 2017Asheville Johnson City Kingsport Knoxville

    MSA Age Distribution (Ages 15 to 44)

  • 17.9%17.9%

    18.2%

    18.6%

    18.9%

    19.4%

    19.9%

    20.5%

    20.8%

    15.4%

    15.7%15.9%

    16.3%

    16.7%

    17.1%

    17.6%

    18.1%

    18.4%

    16.9%

    17.3%

    17.8%

    18.2%

    18.6%

    19.0%

    19.5%

    20.0%

    20.3%

    14.0%

    14.2%14.5%

    14.8%

    15.5%

    15.9%

    16.4%

    16.9%

    17.2%

    14.0%

    15.0%

    16.0%

    17.0%

    18.0%

    19.0%

    20.0%

    21.0%

    2009 2010 2011 2012 2013 2014 2015 2016 2017

    Asheville Johnson City Kingsport Knoxville

    MSA Age Distribution – 65 and Older

  • Commercial Branch Bank and Savings Institutions Deposits

  • 0.00%

    10.00%

    20.00%

    30.00%

    40.00%

    50.00%

    60.00%

    70.00%

    80.00%

    90.00%

    Tennessee

    Asheville

    Johnson City

    Kingsport

    Chattanooga

    Knoxville

    Nashville

    42.08%

    49.48%

    39.26%

    27.62%

    46.57% 45.69%

    77.35%

    47.83%

    19.79%

    7.58%1.55%

    27.49%

    38.39%

    87.39%

    2001-2008 2008-2018

    % Changes in Nominal Dollar Deposits of All FDIC-Insured Institutions

    (Commercial Banks, Savings Institutions, Branches of Foreign Banks)

  • -20.00%

    -10.00%

    0.00%

    10.00%

    20.00%

    30.00%

    40.00%

    50.00%

    60.00%

    70.00%

    Tennessee

    Asheville

    Johnson City

    Kingsport

    Chattanooga

    Knoxville

    Nashville

    16.87%

    22.95%

    14.55%

    4.97%

    20.56% 19.84%

    45.88%

    26.75%

    2.71%-7.76% -12.93%

    9.31%

    18.66%

    60.67%

    2001 to 2008 2008 to 2018

    Percent Changes in Real Dollar Deposits of All FDIC-Insured Institutions

    (Commercial Banks, Savings Institutions, Branches of Foreign Banks)

  • Issues for Consideration• Strategic Planning:

    What are the region’s short and long-term goals to address its demographic, economic, and educational issues?

    Do the region’s policies, practices, and incentives align with these goals? Are the goals achievable and measurable?

    Are institutions held accountable when they do not meet these goals? Are they provided incentives when they do meet these goals?

    • State and Local Issues: What is the state and region’s economic forecast? Is the current regional ECD infrastructure able to present a consistent

    advocacy voice to federal, state, and other constituencies? How effective is the region in realizing grant and special project

    funding to support regional economic, education, and health objectives? Is the region coordinated or disjointed in its approach to industry

    recruitment?

    Slide Number 1Presentation OverviewSlide Number 3Educational Attainment and IncomeEducational Attainment and Income 1990Educational Attainment and Income 2000Educational Attainment and Income 2015Annual Salaries of Adults by Educational Level� (25 or older 2017) Slide Number 9Projected Increases in Employment by Education Required (2016 to 2026)Slide Number 11Percent of Adult Population with a �High School Degree Percent of Working Age Adult Population with an Associate Degree or Higher Percent of Adult Population with a Bachelor’s Degree or Higher Median Household Income Slide Number 16Slide Number 17Slide Number 18Slide Number 19Slide Number 20Slide Number 21Slide Number 22Slide Number 23Slide Number 24Slide Number 25Slide Number 26Slide Number 27Slide Number 28Slide Number 29Slide Number 30Slide Number 31Slide Number 32Slide Number 33Slide Number 34Slide Number 35Slide Number 36Commercial Branch Bank and �Savings Institutions DepositsSlide Number 38Slide Number 39Slide Number 40