NY Times: Las Vegas Faces Its Deepest Slide Since the 1940s

[marmar]

LAS VEGAS — There are many cities across the country that are beginning to see the first glimpses of the end of the recession.

This is not one of them.

The nation’s gambling capital is staggering under a confluence of economic forces that has sent Las Vegas into what officials describe as its deepest economic rut since casinos first began rising in the desert here in the 1940s.

Even as city leaders remain hopeful that gambling revenues will rebound with the nation’s economy, experts project that it will not be enough to make up for an even deeper realignment that has taken place in the course of this recession: the collapse of the construction industry, which was the other economic pillar of the city and the state.

Unemployment in Nevada is now 14.4 percent, the highest in the nation and a stark contrast to the 3.8 percent unemployment rate here just 10 years ago; in Las Vegas, it is 14.7 percent. ...........(more)

The complete piece is at: http://www.nytimes.com/2010/10/03/us/03vegas.html?hp

[KharmaTrain]

1. The Other Gambling Casino...

A buddy of mine in Phoenix, where things aren't much better, wrote about how the economy of those regions were built on bubbles of bubbles. In Vegas specifically as the city grew rapidly all the new construction became a gambling casino of its own. No sooner was a new hotel or neighborhood built the deeds were sold and traded and drove up property values that made those who were in this casino a lot of money. It was all predicated on the city continuing to grow...add more hotel rooms, new attractions and supposedly more workers who'd buy more and more houses. When the bottom fell out, it hit fast and quick and the gambling chips turned into buffalo chips and the stink is still being felt. He then compared Vegas to Detroit...two industry towns that are on the skids...too big to support itself and no rebound in sight.

[Bitwit1234]

2. If people don't have jobs they don't have money to spend.

And if they don't spend the money a lot of jobs are going away.

[PoliticAverse]

3. Sounds like the Las Vegas gambling industry needs the type of lobbyists

that the Wall Street gambling industry has.

[madrchsod]

4. there is at least 8 casinos within 40 to 200 miles from where i live.

most of them have been totally rebuilt in the last few years. maybe not as glamorous as vegas but it`s cheaper and easier to get to.