Friday, September 19, 2025

Georgia Economic Report 9-19-25

According to Georgia State University's Economic Forecasting Center Director Rajeev Dhawan, speaking at his August 28, 2025, conference, job growth in Georgia remains below pre-pandemic levels due to specific sector weaknesses. Despite this slowdown, the state's economy benefits from strengths in other areas, such as data center construction.  

Key takeaways from the forecast

  • Anemic job growth: In the first half of 2025, Georgia added only 11,700 jobs. This marked a sharp and persistent slowdown compared to 2024 and was significantly less than the state's growth rate from 2017 to 2019.
  • Sector-specific slowdowns:
    • Service sector: Dhawan noted significant stress in white-collar, middle-management service-sector jobs, which are being challenged by advances in artificial intelligence (AI).
    • Film and TV: The forecast cited the changing focus of film and television production as a contributing factor, noting that Marvel Studios had relocated to London.
    • Airlines: Delta Air Lines, Georgia's largest private employer, saw an anemic 1.0% revenue growth in the first half of 2025, with coach ticket sales dropping by 3.6%.
  • Economic bright spots:
    • Data centers: A boom in data center construction was noted as a positive factor.
    • Population growth: Continued in-migration of retirees is helping the state's economy.
    • Aerospace: The aerospace industry is expected to get a boost from increased defense spending by European NATO countries.
  • Forecasted recovery: While job growth remained sluggish through August 2025, Dhawan noted that the pace of job creation was expected to improve in 2026. 

Dr. Rajeev Dhawan of the Economic Forecasting Center at Georgia State University delivered a forecast at a webinar on August 28, 2025. Key insights for Georgia's economy were also published by the University of Georgia's Selig Center for Economic Growth in December 2024 and expanded upon in early 2025. 

Dr. Dhawan's forecast (GSU)

  • Key sectors show mixed performance: Data center construction and in-migration of retirees are boosting the state's economy, while AI advances and global economic uncertainty are stressing service-sector jobs.
  • Job growth moderates: The state added only 11,700 jobs in the first half of 2025, a slower pace than previous years. The film and television industry, in particular, has seen a slowdown.
  • Aerospace gains: The industry is expected to receive a boost from increased defense spending pledges by European NATO nations.
  • Airline weakness: Delta Air Lines experienced an anemic 1.0% revenue growth in the first half of 2025, primarily driven by a 3.6% drop in coach ticket sales. 

Dr. Humphreys' and Ayers' forecast (UGA)

  • Slower but resilient growth: Georgia's economy is expected to grow by 2.4% in 2025, a slowdown from 3.1% in 2024, but will still outpace the national forecast of 1.6% GDP growth.
  • Low recession risk: The probability of a recession in Georgia is estimated at 25%, an improvement from earlier in 2024.
  • Unemployment to edge up: The state's unemployment rate is projected to rise slightly from 3.7% in 2024 to 4.0% in 2025, but will remain below the national average. This is mainly due to slower hiring rather than mass layoffs.
  • Inflation stable: After falling to 3% in 2024, inflation is expected to hold steady at that rate through 2025.
  • Drivers of growth:
    • Housing: Lower mortgage rates and a lingering housing shortage will drive an expected 9% increase in single-family home construction, while home prices hold steady.
    • Healthcare: An aging population and continued population growth will bolster health care hiring.
    • Logistics: The build-out of existing projects, including new inland ports, will boost the transportation and logistics sectors.
    • Manufacturing: Georgia's manufacturing industry will benefit from higher demand for vehicles and the continued development of the electric vehicle ecosystem.
  • Areas of weakness: Retail and information technology jobs are likely to see losses due to online competition and technological advances. The film and TV industry will face overcapacity challenges in 2025, though a partial rebound is expected. 

https://www.google.com/search?q=ravcgv+dharwan+georgia+economic+forecast+8-28-25

In May 2025, the last reported month for specific job opening data, Georgia had approximately 333,000 job openings. For context, this was a 6.3% job openings rate for the state, compared to a 4.6% national rate at that time. 

https://www.google.com/search?q=how+many+job+openings+are+in+the+us+state+of+georgia+today+2025

Economic Highlights

In 2026, Job Growth in Georgia is forecast to increase by 68,000 jobs.

In 2027. Job Growth in Georgia is forecast to increase by 83,000 jobs.

In 2.026, Job Growth in Atlanta Metro is forecast to increase by 44,300 jobs.

In 2027, Job Growth in Atlanta Metro is forecast to increase by 60,500 jobs.

Income Growth is expected to increase by 5.4% in 2026 and 6.0% in 2027.

Single Family Home Permits are expected to increase by 15% in 2027.

Source: Dunwoody Crier 9-11-25

The Department of Homeland Security (DHS) announced in August 2025 that the U.S. had seen a reduction of approximately 1.6 million unauthorized immigrants in the first 200 days of the second Trump administration. However, this figure does not exclusively represent voluntary departures. 

https://www.google.com/search?q=how+many+illegals+have+self+deported+from+the+us+as+of+september+2025

Comments

Georgia’s Illegal population can be estimated at 350 000. As they “self-deport” or move through the Asylum Process, they will need to be replaced by US citizens. This should increase some job availability in the areas they vacate.

We should be able to identify the number of US citizens in the US population after we have AI Data Centers established and accurate data can be confirmed from shared databases.

Norb Leahy, Dunwoody GA Tea Party Leader

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