Housing recovery may take years
Tuscaloosa News – Jan. 20
…In West Alabama, construction of new homes was down by more than 50 percent during the past two years, compared with the pre-recessionary years, according to figures from the Alabama Center for Real Estate at the University of Alabama…“The major problem was with construction and development loans,” said Benton Gup, a University of Alabama finance professor who specializes in banking. Banks are more reluctant to make such loans today after being burned, he said. “It’s like the old saying ‘fool me once, shame on you; fool me twice, shame on me,’ ” he said. Loans for more new construction will not significantly pick up until the overabundance of homes for sale dissipates. UA economist Gary Hoover said the economic recovery is being affected by the housing situation…
Federal regulators focus on ‘serious matter’ at NobleBank
Anniston Star – Jan. 20
…Still, the action is not a routine occurrence, says Dr. Benton Gup, an expert in banking regulations at the University of Alabama. After seeing a copy of the letter to investors, Gup wrote in an e-mail that, “the bank has some serious problems, but they are not ‘life threatening.’ Simply stated — the OCC is saying that the bank is poorly managed, and needs to shape up.” But Gup added that the economic environment has a lot to do with the situation as well. “We are just coming out of a very bad recession,” he wrote. “We had 157 banks fail last year in the U.S. This bank didn’t fail — but it has serious problems that have to be resolved.”…
Economists expect improvement in 2011
Birmingham Business Journal – Jan. 20
… Sam Addy, director and research economist for the Center for Business and Economic Research at the University of Alabama said 2010 was actually better than some expected. “While there is some restructuring that is needed, the views of our wealth are more realistic, which means people aren’t borrowing as much,” Addy said. In 2011, the Center for Business and Economic Research expects a 3 to 3.5 percent growth in GDP, he said…
Students test iPads for class
Crimson White – Jan. 20
…Last semester, students in economics classes were presented with a new offer. Inkling, the creator of an iPad textbook app, presented students with an iPad and free textbook for the whole semester with one requirement: to use the e-book version of the textbook and report back to Inkling on their experiences…Elder, who teaches economics and whose class was part of Inkling’s experiment, says e-books have a lot of potential to continue to improve. “It’s still pretty not well developed,” Elder said. “It’s still early in the process.” Elder has been using electronic versions for his textbooks for years and foresees more development in e-books. He wants to see the electronic aspect play even more of a role in the textbook – for the textbook to not only be about the reading but enriched with video and audio content and more interaction with others…
BP funds gulf research
Crimson White – Jan.20
…“The state was provided with $5 million by BP, which is the first of a larger sum of money to come to study the effects of the oil spill on the Gulf,” said Joe Benson, vice president for research. “The researchers at UA received a total of a little over $800,000.”…Benson said he hopes these funds will give scientists a much better understanding of the nature and impact of the spill. Fred Andrus, an associate professor of geology, is among the 18 professors who received funds for the research, and he is a member of the team that will examine some of the environmental effects, including the result the spill had on organisms. Andrus said he wants their research to bring something positive out of a bad situation…
Iron Cup boosts Pelham’s economy
Pelham Reporter – Jan. 19
The first hockey meeting between two of the most bitter rivals in college sports brought an economic spike to the Pelham Civic Complex and businesses throughout the city, according to Pelham Marketing Director Eva Shepherd. As many as 5,000 people came through the Civic Complex’s doors during the inaugural ice Iron Bowl weekend, which meant big business for area restaurants and hotels. The rush also provided exposure for the Civic Complex and the city, Shepherd said…During the weekend, the University of Alabama hockey team, which plays its home games at the Civic Complex, completed a three-game sweep of the first-year Auburn University hockey team…
UA to host cosmic bowling tournament to fight illiteracy
WVUA (Tuscaloosa) – Jan. 19
The Literacy Council of West Alabama is working with the University of Alabama’s Ferguson Center to fight illiteracy in West Alabama. They are hosting a cosmic bowling tournament, on Thursday, Jan. 20…