AUGUSTA, Maine - Maine's state economist told the Legislature's Appropriations Committee today that Maine can expect slow economic growth in the year ahead, the result of relatively low inflation and low interest rates.
Amanda Rector said a recent meeting of the state's Consensus Economic Forecasting Commission concluded that future economic gains are likely to be influenced by the state's increasingly older worker profile and declining population.
"So, overall, while the commission does continue to forecast slow growth for Maine's economy, the demographic situation in the state is of great concern," Rector said. "The aging population and lack of population growth are going to limit employment growth and income growth going forward."
Maine has the oldest median age in the country, at 43.5 years, and the state lost population between 2012 and 2013, according to estimates released by the U.S. Census Bureau. Rector said business representatives have expressed concerns over the state's dwindling labor pool and say that there is an argument to be made for attracting new workers to Maine from beyond the state's borders.