Economic Development

Ensure a diverse and competitive regional economy by supporting the retention of existing business and by encouraging new enterprise that create employment opportunities in close proximity to the labor force.

Policy Background
As the number of job holding residents increases, more money enters the economic stream and the economy gains in vitality. An increase in total employment promotes a positive regional image, while enhancing the competitiveness of the Delaware Valley.

Total employment figures are based upon the number of regional residents who are currently employed. Employed persons are defined as those who work as paid employees, worked in their own business, or who worked 15 hours or more per week as unpaid workers in a family-owned business. It also includes those who did not work but had jobs from which they were temporarily absent.

Measurement
This indicator measures the growth of non-farm payroll jobs in the Delaware Valley. DVRPC measures data on a two-year basis. It is important to note that since there are a variety of employment data sources such as the U.S. Census, Bureau of Labor Statistics, and State Data Centers, DVRPC data may not be consistent with data from other sources. The important factor in this indicator is the rate of change between the measures. Information is provided for the nine-county Philadelphia region. This indicator will be compared to employment changes in Pennsylvania, New Jersey and the U.S.

Results
Between 1990 and 1995, there were gains in total employment in seven of the nine Delaware Valley counties. From 1995 to 1997, there was employment growth in all counties except Philadelphia. Since 1990 employment growth for the region as a whole increased by 2.4%. Chester and Gloucester counties had increases of 17.6% and 14.7% from 1990 to 1997, while Camden County and Philadelphia lost -0.9% and -9.6%, respectively, of their total employment. Camden County recovered much of this loss between 1995 and 1997, while Philadelphia significantly slowed its rate of loss.

Policy Background
Although the number of employed residents may increase, it is also important to track the wages being earned by those working. A gain in jobs may only be indicative of an increase in low paying jobs that require little skill. Improvements in employment numbers coupled with an increase in personal income can illustrate that the Delaware Valley is employing more highly educated and skilled workers whose increased earnings and subsequent spending help to expand the regional economy.

Measurement
This indicator measures the annual income per person in the region and may be indicative of the kinds of jobs being created in the Delaware Valley. The county listings are for county residents. Data for this indicator are supplied annually by the U.S. Department of Commerce, Bureau of Economic Analysis Regional Economic Information System (REIS) data. Income data from the REIS differs from Census-based income data since the REIS income series is estimated largely on the basis of administrative records of business and governmental sources and the Census data are obtained directly from households. Moreover, the definitions of income are different. The REIS data includes some items not included in the Census income data, such as income "in kind," income received by nonprofit institutions, and Medicare payments. This measure will be compared to changes in earnings in Pennsylvania, New Jersey and the United States.

Results
Per capita personal income rose from 1990 through 1997. Regional per capita personal income in 1997 was $29,347, an increase of 34.3% in seven years. Chester County experienced a per capita personal income increase of 49.2%, and Mercer County had an increase of 41.4%. Regional income growth was slightly below the figures for Pennsylvania (35.9%), slightly above those in New Jersey (33.8%), and just below the nation as a whole (35.4%).

Policy Background
The unemployment rate provides a consistent measure of labor force utilization in the region. It represents the number of unemployed persons as a percent of the civilian labor force. Until recently, unemployment in the Delaware Valley has generally been slightly lower than the national rate.

Measurement
This indicator measures the proportion of unemployed job seekers in the labor force. Data are supplied monthly by the U.S. Department of Labor's Bureau of Labor Statistics. This measurement will be compared to unemployment rates in Pennsylvania, New Jersey and the nation.

Results
Unemployment rates throughout the Delaware Valley tended to fluctuate significantly between 1990 and 1998 as the economy cycled through a period of economic growth, recession and economic growth again. As a whole, the region had an unemployment rate of 4.6% in 1990, 5.9% in 1995, and 4.9% in 1998. Between 1990 and 1995, every county in the region experienced an increase in their respective unemployment rates. This trend, however, was reversed and from 1995 to 1998, every county experienced a decrease in their unemployment rates, while the national unemployment rate also decreased. County unemployment levels ranged from a low of 2.7% in Chester County in 1998 to a high of 6.2% in Philadelphia during the same period. The regional unemployment rate remained below the statewide rates in 1990 and 1995, but was higher in 1998.