5 Signs of a Booming Economy

Today’s economic climate is anything but stable. Some reports say the economy is buoyant while others predict doom and gloom, so how do you navigate the ‘double speak’ and ascertain what is really going on with the economy? Here are 5 signs that indicate a booming economy. 

Employment Levels

The employment rate is an excellent and accurate indicator to help track the state of the economy. Australia fared very well in the global financial crisis as it was able to maintain high levels of employment, mainly due to the mining industry which sustained growth throughout the crisis.

A healthy mining sector results in jobs not only in the mines themselves but also create employment in many other industries. Hyundai Construction Equipment is just one example of this spill-over effect which sees entire industries sustained by the mining boom. Safety equipment, maintenance needs and catering requirements are a couple of other examples.

To gage employment levels correctly it is important to ascertain the percentage of the population in actual employment, as the unemployment rate doesn’t tell the whole story. Students are an example of how unemployment figures can skew the results. To ascertain the health of the economy it is necessary to understand how many people are actually on the payroll.

Personal Income and Outlays

Another sign of a booming economy is high personal income and expenditure rates across the population. Reductions in employment and income soon result in reduced spending and the economy suffers. The roll-on effects are swift.

Spending across all areas of goods and services is often one of the first clues to future economic trends.

Retail Sales

Economists follow retail sales closely to help understand the spending behaviour of consumers. While most retail stores sell to individuals just as many sell to small business and contractors. Thus high performance in the retail sector affords a pretty conclusive glimpse at the robustness of the economy at any given time. Conversely, a drop in retail sales indicates a fall in the economy. 

Consumer Price Index

The Consumer Price Index, or CPI, is also the focus of economists. The overall Consumer Price Index is an attempt to measure consumer pricing, to see how the price of goods changes. In a nutshell, the CPI measures inflation. 

New Home Sales

Another strong indicator of a booming economy is strong growth in new home sales. New homes have a greater impact on GDP (gross domestic product) than existing home sales. A new home generates much more spending than selling an existing one. Building a new home will require builders, cabinet makers, roofers, plumbers, carpet layers, tilers and more. Added to this is the materials required to build a new home including timber, brick, cement and gravel to name a few. For this reason the rate of new home sales is highly relevant to determining the resilience of the economy. There is usually a lot of spending associated with moving into a new home too, buying electronic equipment, white goods and furniture.

Watch these signs and you will get an idea of how the economy is performing and make your investment decisions accordingly

Economic development of Canada's East Coast

Lighthouse of Peggys Cove, Nova Scotia (Photo credit: Wikipedia)

Without a doubt, Natural resources have obviously seen a dramatic change and increase in Canada, especially within the east coast areas, as more and more skilled labour continue to influx the country, certain areas within the east coast area continue to stand out with regards to economic boom, real estate investment and industrial growth. These select areas have definitely shown their prowess with regards to the way forward. In this write up, highlight will be given on three specific areas that have shown tremendous growth with regards to development over the years in the areas of industrial growth, real estate and economic increase; these provinces include Nova Scotia, New Brunswick and Halifax.

Nova Scotia, first of all is a very beautiful province located within the eastern coast of Canada. The breathtaking landscape that can only spell the word “prosperity”. 

Without a doubt, this alone is the first attraction the province gets with regards to continuous movement of people, goods and services. The presence of natural resources have also affected the price of real estate in such a way that vacant lands as well as commercial buildings are now priced at a competitive low and affordable rate just to signify a considerable growth and consistency within the real estate industry. 

Secondly, due to the continuous rise in industries and on-going rise in technology innovations, the province is also witnessing a good number of increase in job offerings, hence the need for more skilled labour into Nova Scotia. The presence of natural resources has put Nova Scotia on the world map, so if you are thinking of a province with a lot potential growth in every area irrespective of the world's economic recession, land for sale in Nova Scotia sure has a chance of coming out on top and being a good investment.

Fishing Boats in Yarmouth, NS (Photo credit: Wikipedia)

Another rising area within the eastern coast of Canada equally having a great impact on the economy of the country with regards to natural resources is New Brunswick. The province has also witnessed own fair share of downgrading, due to an unsustainable long term plan for economic growth which affected the province as a way back in June 2011, when a data research was carried on the province in terms of economic growth prediction. 

Presently, as the province continues to strive in the influx of goods and service; the natural resources possessed by the province has had a good impact with the step up of the economic growth. Today, New Brunswick is seen as a place with a considerable amount of potential with respect to jobs availability, future economic stability and a good location for real estate and property investment. Technology wise, the province has also been able to sustain its technological growth as there is more research conducted just to improve the standard of living of the residents. 

Property availability is also on the increase on a gradual basis due to the competitive growth of the real estate industry in surrounding cities; this has equally affected the cost of properties within the province, making it low and competitive. With this in mind, you can then ask the question, is investment of land for sale in New Brunswick a viable option? The answer is a clear yes; as long as there is potential, and then there is room for profit.

City Hall, Halifax (Photo credit: Wikipedia)

Halifax is another city that has equally shown proper growth with regards to economic growth as a result of the city's natural resources. Real estate in the city has known tremendous increase so much that the situation promises the availability of more jobs as well as a competitive price in the cost of property acquisition. 

Research has also shown there is a rise in the construction of apartment buildings as well as single family homes, a lot more than it used to be about 50 years ago. This growth has definitely proven the city a good spot for property investment and if you are keen on making an investment soon on real estate, then you should give Halifax city a good consideration.