Texas Economic Outlook 2020
January 31, 2020
In 2019, Texas businesses faced historically tight labor markets, a decline in the oil and gas sector, a strong dollar and increased tariffs. Despite these challenges, job growth slowed only moderately and the unemployment rate declined to its lowest level since the data began in 1976. Heading into 2020, headwinds include continued tight labor markets, political and trade uncertainty, and slowing national and global economies. While uncertainty is greater than normal, leading indicators and the current momentum of job growth suggest that the long expansion in the state is likely to continue next year. Watch Dallas Fed assistant vice president and senior economist Keith Phillips discuss the factors likely to influence Texas in 2020 and the challenges facing regions and industries in the state.