Wednesday, April 16, 2014
YOLO COUNTY NEWS
99 CENTS

Construction spending dips 0.3 percent

WASHINGTON (AP) — U.S. builders spent less on construction projects in November, the first decline in eight months, as activity was held back by a big drop in spending on federal projects.

Construction spending dipped 0.3 percent in November compared with October, when spending had risen a revised 0.7 percent, the Commerce Department said Wednesday. The November decline was the first drop since March.

It left total spending at a seasonally adjusted annual rate of $866 billion, which is 16.1 percent above a 12-year low hit in February 2011. Even with the gain, the level of spending remained only about half of what’s considered healthy.

In November, spending on housing increased 0.4 percent, but spending on federal building projects fell 5.5 percent. Spending on nonresidential projects such as office buildings and shopping malls dropped 0.7 percent.

The weakness in nonresidential activity reflected declines in construction of office buildings, hotels and the category that includes shopping centers.

Overall government spending dipped 0.4 percent. That reflected the big decline in federal projects and a small 0.1 percent rise in spending on state and local projects.

According to a recent government report, builders broke ground on fewer homes in November after starting work at the fastest pace in more than four years in October. Housing starts are on track for their best year in four years.

Strength in home building has been one of the bright spots for the economy this year. But overall construction is still being offset by weakness in commercial real estate and tight state and local government budgets.

Sales of new homes rose 4.4 percent in November to the highest annual pace in two and a half years. New-home sales are more than 15 percent higher than a year ago.

From July through September, residential construction grew at an annual rate of 13.5 percent. Housing construction is on track to contribute to economic growth this year, the first time that has happened in the five years since the housing bubble burst.

Though new homes represent only a fraction of the housing market, they have an out-size impact on the economy. Each home built creates an average of three jobs for a year and generates about $90,000 in tax revenue, according to statistics from the National Association of Home Builders.

Builders are increasingly confident that the housing recovery will endure. A measure of their confidence rose in November to the highest level in 6 1/2 years.

————

By Martin Crutsinger, AP economics writer

The Associated Press

LEAVE A COMMENT

Discussion | No comments

The Davis Enterprise does not necessarily condone the comments here, nor does it review every post. Read our full policy

.

News

 
‘Eco-Heroes’ help get us from here to there

By Special to The Enterprise | From Page: A1, 1 Comment | Gallery

 
Davis elder-abuse case wraps up

By Lauren Keene | From Page: A2

 
Alleged serial killings highlight GPS limits

By The Associated Press | From Page: A2

CHP seeks owner of lost cash

By Lauren Keene | From Page: A2

 
 
Home building up in March after frigid winter

By The Associated Press | From Page: A2

Family fiction in miniature showcased at bookstore event

By Special to The Enterprise | From Page: A3 | Gallery

 
Local professor subdues unruly man on flight

By Adrian Glass-Moore | From Page: A3

Yolo Crisis Nursery is in crisis; please help

By Special to The Enterprise | From Page: A4

 
Meditation, Buddhism classes offered

By Enterprise staff | From Page: A4

Seniors can get tips for getting around town

By Enterprise staff | From Page: A4

 
School has garden plots for rent

By Enterprise staff | From Page: A4

Sugar overload, on ‘Davisville’

By Enterprise staff | From Page: A4

 
Rotarians, students, teachers, parents collaborate on planter boxes

By Enterprise staff | From Page: A4 | Gallery

Hop to it: Easter Bunny meets Davis history tour

By Enterprise staff | From Page: A5

 
Garden doctor: Veggie gardening available year-round

By Special to The Enterprise | From Page: A5

Animal expert explains dogs’ thinking

By Special to The Enterprise | From Page: A5

 
Check out the night sky

By Enterprise staff | From Page: A5 | Gallery

 
Central Park Gardens to host Volunteer Orientation Day

By Enterprise staff | From Page: A7 | Gallery

Are we there yet?: Self-reflections of a would-be stage mom

By Tanya Perez | From Page: A8Comments are off for this post

 
.

Forum

Still supporting this guy

By Special to The Enterprise | From Page: B5

 
Tom Meyer cartoon

By Debbie Davis | From Page: A6

Urban forest under siege

By Special to The Enterprise | From Page: A6, 3 Comments

 
Drought care for our trees

By Letters to the Editor | From Page: A6, 1 Comment

.

Sports

 
UCD staff allows 19 hits in Causeway rout

By Bruce Gallaudet | From Page: B1 | Gallery

 
DHS softball struggles in nonleague outing

By Spencer Ault | From Page: B1 | Gallery

Devils open Boras Classic by splitting games

By Enterprise staff | From Page: B1 | Gallery

 
JV/frosh roundup: DHS sweeps a trio of baseball games

By Enterprise staff | From Page: B2 | Gallery

Baseball roundup: River Cats get by Grizzlies at Raley

By The Associated Press | From Page: B3

 
Giants beat L.A. in 12

By The Associated Press | From Page: B3

Sports briefs: Stanford sends Aggies home with a lacrosse loss

By Enterprise staff | From Page: B8 | Gallery

 
.

Features

 
.

Arts

Red Union Blue inks record deal

By Landon Christensen | From Page: A9 | Gallery

 
Craft Center exhibit explores ‘Possibilities’

By Special to The Enterprise | From Page: A9

RootStock to host wine themed plein aire exhibit

By Enterprise staff | From Page: A9

 
The California Honeydrops to bring danceable groove to The Palms

By Enterprise staff | From Page: A9 | Gallery

See Flower Power exhibit at Gallery 625

By Enterprise staff | From Page: A9 | Gallery

 
.

Business

.

Obituaries

.

Comics

Comics: Wednesday, April 16, 2014

By Creator | From Page: B6