By Charles Compton
Frankfort, KY – In the New Year, expect a stronger economy in Kentucky, but, economists add, growth will be slow. During an interview on public radio's "State of Affairs," University of Kentucky economist Ken Troske says a sluggish housing market remains problematic.
"The housing sector continues to be a significant drain on the economy, pulling it down. Yet, occasionally, housing sales are up, then they're down. Foreclosures are still rising quite dramatically. They're up 24% from where they were a year ago."
Once housing prices are stable and owners believe their homes will retain their value, Troske predicts consumer spending will permanently improve.