State economy taking the slow road

The train wreck that was the Tennessee economy, is showing signs of sustainable recovery.

So says the University of Tennessee Center of Business and Economic Research. The jobless rate is slowly recovering, tax collections are improving and  personal income is growing, UT economist Matt Murray wrote in the spring update to the CBER economic report to the governor.

But it’s going to be a long haul. It will be 2013 before the economy shows significant improvement, Murray says.

The report also notes that the state must eventually confront the inevitable — tax increases or deep cuts in spending when federal stimulus funds run out next year.

Read the full report here.

See a video presentation by Murray here.