Monday, November 3, 2008

Busted In Vegas

Perhaps nothing better exemplifies the rise and fall of the virtual economy in the US like Las Vegas. The poster child for the service economy, it combines almost every sector of so-called "growth": recreation, hospitality, real estate, finance, marketing.

The party is now clearly over. After years of continuous expansion in gaming revenue and convention activity, this year is shaping up as a outright bust for America's desert kingdom.

Data: LVCVA

To provide an idea of the amounts involved, gaming revenue in 2007 came to $10.9 billion and the economic impact of conventions to $8.5 billion. There were 39.2 million visitors staying a total of 44 million nights at an average room rate of $132/night.

8 comments:

  1. Which is why I am there this year for first weekend of NCAA basketball! There are gong to be great deals at Bellagio.

    Go UCLA!

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  2. Very recently I got a call from one of the large hotel chains offering me a room on The Strip for 3 days and 2 nights for $99. It was a great offer ... if I could have taken it.

    Unfortunately for the hotel, I am one of the lucky souls who has a job right now -- and I don't want to give it up even for a weekend. I don't know how long my luck will last on this project; and, like many Americans, I hasten to spend any money on any luxuries given the instability in the market.

    I am sure I am not alone in this regard. That is undoubtedly bad news for the hospitality sector.

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  3. Beggars can't be choosers but this pushes this maxim to the limit: My spouse was offered a position in abu dubai. I don't know if we should take it. It would only be for 1 year two at the most. Still, Abu Dubai?! Far cry from the cornfields I have grown to love

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  4. Note, before you accuse me of being off topic, the last post was building on Okie's post regarding employment.

    Based on what I am seeing here in the mid west the employment outlook is grim

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  5. Halloween 2008

    http://qaptainqwerty.blogspot.com/2008/10/halloween-2008.html

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  6. The recession is hitting Vegas hard, but I wouldn't write it off. Even during tough times (some say the worse financial crisis since the Great Depression) the big players are still turning a profit. Question is have we seen the bottom yet?

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  7. Ha!
    Before the summer I went to see that most tawdry, sluttonous film, Las Vegas 21.

    I say, cut Vegas away from the U.S.
    Excise it and turn it loose in the middle of the ocean.
    (Sorry all the "poor" folks who just "have" to make their living there, and that way, they will be given a bailout chance.)

    But, from my point of view, Las Vegas has been the capital of the U.S. for quite some time now.

    We just thought it was Washington, D.C. ...

    If you haven't seen the film, check it out.
    This is not an endorsement.
    Do a little post mortem on it, especially the ending scene which blew me away.

    Worse than Sodom and Gomorrah. (Spelling ?)

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