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SW-NCA-color-FINALweb

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48 assessment of climate change in the southwest united statesFigure 3.6 The Southwestern economy grew rapidly from the 1970s through 2008, with adecline commencing with the recession. The strongest economic sectors were finance, insurance,real estate, and services, followed by construction and manufacturing, trade, and government. Themore traditional natural resource economies remain important but provide only a small portion ofthe GDP of the region (shown in millions of dollars). Note that previous to 1998 income by industrywere defined using the Standard Industrial Classification, and in 1998 and after were defined usingthe North American Industry Classification System. This definitional change resulted in a slight downtickin Construction and manufacturing, Agriculture, forestry, and fishing, and Transportation and publicutilities, and the up-tick in Finance, insurance, real estate, and services. Longer-term trends (>5-10years) remain robust to this definitional change. Source: U.S. Department of Commerce, Bureau ofEconomic Analysis (http://www.bea.gov/regional/index.htm).Forest cover declined in all states by a combined 2.2% (0.5% of the region) due primarilyto mechanical disturbance (e.g., timber harvest) and fire, although some of thedecrease occurred on land with potential for eventual tree regrowth following fire orpost-harvest replanting. The extent of mechanical disturbance was highest in the mountainsand foothills of California, central Arizona, and New Mexico. However, Coloradoand other states may see an increase in timber harvest related to insect-related forestdie-off exacerbated by changing climatic conditions.

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