The 34th annual Southwest Economic Outlook at Fort Lewis College on Tuesday delivered what it has for decades: a clear-eyed, data-driven view of how national and state economic forces affect the local region (Herald, Jan. 7). That continuity owes much to University of Colorado economist Dr. Richard Wobbekind, who has participated every year, and to the Fort Lewis College Katz School of Business and Bank of Colorado for their ongoing support.
This year’s data point to an economy that is technically growing – GDP, consumer spending, and some sectors show strength – yet the benefits remain uneven. Costs continue to outpace wage growth. Job gains are modest. College graduates increasingly find work outside their fields. Artificial intelligence is reshaping hiring and productivity, expanding opportunity in some sectors while narrowing entry-level paths in others.
Wobbekind’s statewide snapshot reinforced that mixed picture. Colorado is experiencing labor force declines, softer agricultural revenues, and rising credit card delinquencies, bankruptcies, and student loan debt. Business pessimism exceeds the national average amid uncertainty over tariffs and federal restructuring. Gasoline prices are moderating, while state and local government employment is projected to grow. This is not a recession, he said – but a slower-growth economy.
Even that framing understates what many households experience. Consumer spending remained strong through the third quarter of 2025, yet nearly half of it came from the top 10% of earners. Aggregate strength masks strain for families facing high housing costs, child care shortages, rising health care expenses, and mounting debt.
FLC Professor of Economics Dr. Nate Peach highlighted the gap between wages and the cost of living in La Plata County. A livable wage for a single adult is just over $48,000, while a family of four needs $105,000. Many service-sector jobs pay closer to $30,000, leaving many with difficult choices on housing, child care, and daily expenses.
The forum highlighted ongoing efforts to meet regional labor and resource demands. Fort Lewis College continues to serve as a critical economic anchor, connecting education with workforce needs through targeted programs and hands-on internships – in which more than half of students (52%) participate – and addressing health care and regional workforce shortages through its new nursing program with CU Anschutz, as well as the AI Institute and Four Corners Water Center.
Only near the forum’s conclusion did a broader concept surface: a K-shaped economy, where one arm of the economy rises for higher-income households and certain sectors, while the other declines for those facing stagnant wages and rising costs. It was not a theme, but it fit the evidence – an economy that can grow while leaving many behind. The Southwest Economic Outlook’s value lies in making that imbalance visible, reminding us that overall economic growth does not automatically translate into shared economic well-being.
