Effects of the continued freefall of the U.S. economy are widespread, and no state is having a harder time coping than Nevada.

Since January 2007, the state’s economy has declined more than any other state in the country, and there are no signs that things will improve anytime soon. As companies make cuts to remain afloat, the state loses out in payroll and other taxes, according to a report by the Rockefeller Institute of Government.

The report uses figures from the economic activity index that come from the Federal Reserve Bank in Philadelphia. The index measures tax revenue, unemployment, wages and salary distribution, average weekly hours worked, etc., and creates scores with 100 being the benchmark.

Nevada’s score in August was 95.8.

The state faces a rising unemployment rate that is at its highest point in 23 years, and which economists predict will worsen through 2009 and 2010.

Additionally, as turmoil spreads throughout the country, visitation and spending per visitor are dropping throughout the resort towns. New information released by the Las Vegas Convention and Visitors Authority shows a significant downward trend in all areas used to measure the strength of the city’s tourism industry.

Visitor volume is down 4.3 percent, hotel occupancy down 2.4 percent, gambling win down 9.1 percent, average daily room rate down 15.3 percent and convention attendance down 22.3 percent.

Other jurisdictions seem to be cashing in on the misfortune in Las Vegas. Room rates in Laughlin jumped 15 percent in August while occupancy rose from 73 percent to 75.8 percent. Those numbers help offset a 1.6 percent drop in visitor volume and a 10 percent drop in gambling win.

By Casino Connection Staff