Prospects Rosy for Region despite All the Challenges; the Twice-Yearly Merseyside Economic Prospect Is Published Today by the Liverpool Macroeconomics Group. Economist and Prospect Editor Peter Stoney Examines the Outlook for the Region

Daily Post (Liverpool, England), July 13, 2005 | Go to article overview
Save to active project

Prospects Rosy for Region despite All the Challenges; the Twice-Yearly Merseyside Economic Prospect Is Published Today by the Liverpool Macroeconomics Group. Economist and Prospect Editor Peter Stoney Examines the Outlook for the Region


Byline: Peter Stoney

THE prospects for economic growth on Merseyside and its neighbouring areas are still healthy, despite the challenges that are emerging for the rest of the UK.

Unemployment is lower than it has ever been and is close to full employment.

Of course there are many pockets of higher unemployment which suggest that there is still some spare labour capacity locally which could be absorbed in unskilled, intensive activities.

In this respect the region has an advantage over the South East where labour is hard to get.

Another advantage is the scope for urban regeneration which is now being exploited in the Capital of Culture programme. Yet a further advantage is the scope for the development of tourism and service industry. Hence one can say that the region's recovery is well under way after decades of difficulties, albeit and admittedly many self-imposed.

Provided growth in the UK as a whole does not collapse, which we regard as unlikely, these prospects remain assured.

Our forecasts and panel survey results for Merseyside and its hinterland of Cheshire plus North Wales exhibit the same pattern as previously. There is plenty of optimism everywhere, and not just in the statistics of growth and unemployment trends.

The transformation by Grosvenor of the retail centre of Liverpool is easily the most significant investment event of the last 50 years. These inner city works are mirrored in some of the peripheral districts such as Speke-Garston, St Helens, and Wirral. Cheshire's motorway linkages too have been influential in the county's above-average growth rate.

The dismal science of economics, however, sees investment benefits as associated invariably with business costs. These opportunity costs or shadow prices are twofold: first, the direct costs to business of the works themselves as in the case of lost retail business caused by the disruption of 'The Big Dig'; and second, the economic opportunities missed by carrying out the investment in particular ways and locations as in the case of the proposed pounds 200m investment in Merseytram Line 1.

It can be argued quite cogently that these opportunity costs have not been evaluated thoroughly enough on Merseyside.

The rest of this article is only available to active members of Questia

Sign up now for a free, 1-day trial and receive full access to:

  • Questia's entire collection
  • Automatic bibliography creation
  • More helpful research tools like notes, citations, and highlights
  • Ad-free environment

Already a member? Log in now.

Notes for this article

Add a new note
If you are trying to select text to create highlights or citations, remember that you must now click or tap on the first word, and then click or tap on the last word.
Loading One moment ...
Project items
Notes
Cite this article

Cited article

Style
Citations are available only to our active members.
Sign up now to cite pages or passages in MLA, APA and Chicago citation styles.

Cited article

Prospects Rosy for Region despite All the Challenges; the Twice-Yearly Merseyside Economic Prospect Is Published Today by the Liverpool Macroeconomics Group. Economist and Prospect Editor Peter Stoney Examines the Outlook for the Region
Settings

Settings

Typeface
Text size Smaller Larger
Search within

Search within this article

Look up

Look up a word

  • Dictionary
  • Thesaurus
Please submit a word or phrase above.
Print this page

Print this page

Why can't I print more than one page at a time?

While we understand printed pages are helpful to our users, this limitation is necessary to help protect our publishers' copyrighted material and prevent its unlawful distribution. We are sorry for any inconvenience.
Full screen

matching results for page

Cited passage

Style
Citations are available only to our active members.
Sign up now to cite pages or passages in MLA, APA and Chicago citation styles.

Cited passage

Welcome to the new Questia Reader

The Questia Reader has been updated to provide you with an even better online reading experience.  It is now 100% Responsive, which means you can read our books and articles on any sized device you wish.  All of your favorite tools like notes, highlights, and citations are still here, but the way you select text has been updated to be easier to use, especially on touchscreen devices.  Here's how:

1. Click or tap the first word you want to select.
2. Click or tap the last word you want to select.

OK, got it!

Thanks for trying Questia!

Please continue trying out our research tools, but please note, full functionality is available only to our active members.

Your work will be lost once you leave this Web page.

For full access in an ad-free environment, sign up now for a FREE, 1-day trial.

Already a member? Log in now.

Are you sure you want to delete this highlight?