Not Recession-Proof After All
For decades, this gambling center seemed nearly immune to the economic swings of the rest of the country. But these days, the city built on excess is seeing a troubling sign: moderation.
Gambling revenue and hotel occupancy are down. Resorts are slashing room rates and offering coupons or free nights. Casino operators are firing hundreds of workers, and their stock prices have plummeted since October. Credit is drying up for hotel and condominium projects planned before the slowdown hit.
Even the people still coming to Las Vegas are spending less. Julia Lee, 27, of Los Angeles said she normally brings $10,000 on her trips here to play blackjack. As Lee picked up show tickets the other night, she said she had brought less than half that on this trip. “My parents are in real estate, and we’re worried,” she said.
So are this city’s hoteliers, retailers, wedding chapel operators and anyone else who depends on the extravagance of gamblers and tourists. The spending declines are relatively modest, a few percentage points here and there. But Las Vegas has a huge inventory of new casinos and hotels due for completion in the next few years, and a long national recession could send the city reeling.
Democrats Set to Defy Bush On War Spending Bill
Defying President Bush, House Democrats are preparing to forge ahead with a war spending measure that would include extended unemployment assistance and new educational benefits for returning veterans.
After a meeting Monday evening of House Democratic leaders, Speaker Nancy Pelosi said she hoped to bring a $178 billion measure to the floor this week. What could be a contentious debate on the matter is likely to be held on Thursday, aides said.
Pelosi of California did not disclose details of the proposed bill, which will be presented to rank-and-file Democrats at a closed party session on Tuesday. But Democratic officials, who did not want to be identified since the bill was still being put into final form, said the legislative package would include provisions requiring a significant withdrawal of troops from Iraq by December 2009 and measures that would force Iraq to share more costs of its reconstruction.
Democrats also intend to make veterans eligible for new educational assistance if they have served from three months to three years or more on active duty since Sept. 11, 2001. The aid would be equivalent to a four-year scholarship at a public university for those with three years or more service, with payments prorated for those with less time.