The difference between the actual and potential output of an economy—widely known as the output gap—is so critical to central bank policy that scholars and policymakers devote a great deal of time and effort to estimating it and, accordingly, deciding how much to adjust various monetary instruments. Correctly gauging the output gap is particularly difficult because an economy’s potential output is not directly observable. 

Texas Business reports: Texas total nonfarm employment increased by 33,100 jobs during April 2013. Between April 2012 and April 2013, Texas total nonfarm employment increased by 3.0 percent, the State Comptroller reported. 

Texas Business reports: COLLEGE STATION – Is Texas still in a drought? It depends upon where you are and whom you talk to, according to the U.S. Drought Monitor and reports from Texas A&M extension service agents across the state. 

Since the 2010 U.S. census, the number of naturalized citizens has increased substantially in Texas, and the state's immigrants account for significant purchasing power and economic output, according to an analysis by a Washington-based think tank urging immigration reform. 

Texas Business reports: COLLEGE STATION – Recent hail storms in the Northern Plains were the final straw for much of the wheat there, but many areas still have the chance to make decent yields, according to a Texas A&M Extension Service agronomist. 

Texas Business reports: Immigrants, Latinos, and Asians account for growing shares of the economy and electorate in Texas, according to the Immigration Policy Center. Immigrants (the foreign-born) make up roughly 1 in 6 Texans, and one-third of them are naturalized U.S. citizens who are eligible to vote. 

Texas Business reports: Retail sales improved notably in May, according to business executives responding to the Texas Retail Outlook Survey. The sales index climbed back into positive territory, gaining 16 points to reach 11.6. Inventories were largely unchanged. 

Texas Business reports: AUSTIN—The Texas Parks and Wildlife Commission recently approved $5.7 million in federal grants for 33 recreational trail projects across the state. This is the largest amount of grant funds awarded from the Recreational Trail Grant Program in the 20-year history of the program in Texas.  

When Gov. Bobby Jindal of Louisiana wanted to sell his plan to replace his state’s income tax with a higher sales tax, he pointed to Texas as both the problem and the solution.

Texas Business reports: Texas service sector activity expanded in May, according to business executives responding to the Texas Service Sector Outlook Survey. The revenue index, a key measure of state service sector conditions, rose from 6.1 to 11.8, indicating activity picked up pace this month. 

Texas Business reports: DALLAS—The Balfour Beatty | McCarthy joint venture, U.S. Army Corps of Engineers (USACE), Health Facilities Planning Agency (HFPA) and Medical Command (MEDCOM) recently celebrated the official topping out for the Carl R. Darnall Army Medical Center Replacement at Fort Hood, Texas. 

Texas Business reports: Texas factory activity increased sharply in May, according to business executives responding to the Texas Manufacturing Outlook Survey. The production index, a key measure of state manufacturing conditions, rose from -0.5 to 11.2, indicating a notable pickup in output. 

Texas Business reports: COLLEGE STATION – Though recent storms promised to reset the drought button for a large part of East Texas, the western half of the state will likely see below-normal precipitation from now through August, according to a Texas A&M University climatologist. 

One of the state’s worst droughts in decades has been particularly hard on its iconic ranching business, with the barren land leading to increased costs to feed cattle. In Starr County, at the southern tip of the state, Texas Agrilife Extension agent Omar Montemayor can’t give the ranchers money or rain, but he is teaching them ways to keep their herds healthy.

Texas Business reports:  FORT WORTH—American Airlines today launched a systemwide boarding process it claims saves overall boarding time by allowing customers who are traveling light to board earlier. 

Texas Business reports: COLLEGE STATION – Texas cotton planting intentions may be affected by the replanting to cotton of freeze-damaged wheat acreage, but a Texas A&M extension service expert doesn’t expect the change to be significant on dryland wheat acres. 

The resilient longhorn, able to survive on sparse foliage and water, has endured in Texas for more than 100 years. But the recent sale of about 100 longhorns by theTexas Parks and Wildlife Department has spurred debate about the breed’s future in the state.

Texas Business reports: The Texas Comptroller's Office reported state sales tax revenue in April was $2.15 billion, up 3.9 percent compared to April 2012. 

Texas Business reports:  IRVING, Texas—Exxon Mobil Corporation started development of the Julia oil field in the Gulf of Mexico. 

As he looks at the calendar, DeWitt County Judge Daryl Fowler is getting nervous.

Fowler is among a group of officials in the Eagle Ford Shale area who are lobbying lawmakers for money to address the rural South Texas region’s roads, many of which have been pummeled by drilling activity. With about a month left before the legislative session ends, he and others fear the push for funding has stalled. 

Texas Business reports: Texas factory activity was flat in April, according to business executives responding to the Texas Manufacturing Outlook Survey. 

Charlette Hearne thought she and her neighbors in southeast Oklahoma had won their water war against Texas. A decade ago, Oklahoma considered pumping billions of gallons of water out of the Red River basin—a poor, rural slice of the state—and selling it to Texas to slake the thirst of Dallas-Fort Worth, the country’s fastest growing metropolitan region.

Texas Business reports: AUSTIN--Interest rates on new credit card offers dipped this week for the first time in more than two months, according to the CreditCards.com Weekly Credit Card Rate Report.