Recession fears? Houston's business leaders aren't worried -- for now

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Recession fears? Houston's business leaders aren't worried -- for now
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State and local economies are carrying considerable momentum and poised to keep growing...

At the Houston department store Kuhl-Linscomb, owners Pam Kuhl-Linscomb and her husband, Dan Linscomb, say their sales are holding steady from a year ago. They have plenty of customers ready to buy, but not always the merchandise as their vendors face shortages of materials, labor, or both. A vendor who sells mugs is having trouble hiring enough artisans to keep up with demand.

That, coupled with high fuel prices, could deter younger consumers from making the often-long drives across Houston to reach movie theaters, entertainment centers or venues such as Cidercade, Malone said. He estimates he has had to raise prices 5-to-8 percent on certain menu items, but that most nights his restaurant is bustling.Old faithful

But Bill Gilmer, an economist at the University of Houston and director of the Institute for Regional Forecasting, said the oil and gas industry won’t“If the US flips into a moderate recession we’re likely to go with them,” Gilmer said — although he doesn’t think a recession is likely in the near term.Consumer spending slowed in May as inflation took a bite out of disposable income, the Commerce Department reported. Retail sales also slipped in May.

The combined, additional costs weighed on the minds of many at Montrose’s Shepherd Square, where some shoppers said Friday that they are trying to save costs by minimizing trips to the grocery store and buying in bulk. Shoppers are still coming into the stores, Hicks said, even if they may become more selective and price conscious as

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