Economist: manufacturing is rockin'.

• Author: Martel, Luke
• Position: TRENDS & TRANSITIONS - Toby Madden - Brief article

Is there a disconnect between economic reality and public perception?

Toby Madden, regional economist at the Federal Reserve Bank of Minneapolis, told attendees at NCSL's Midwest States Fiscal Leaders Meeting in August the vast majority of people he speaks with "don't realize that we are producing record amounts" of manufactured goods. He blamed this disconnect on an uneven economic recovery. Certain states, economic sectors and socio-economic groups have outpaced others.

Madden emphasized that the United States "is in an economic expansion." In 2013, the GDP hit record levels in 38 states, and "2014 is shaping up as another record year," he said. However, he noted that 12 states are still in recovery.

According to Madden, homebuilding usually leads the country into periods of economic expansion. This recovery, however, has been led by other sectors, including manufacturing, information technology, science, natural resource development, mining and agriculture. He explained that housing growth is just now kicking in but is poised to "help keep...