CENTER FOR BUSINESS AND ECONOMIC RESEARCH / THE UNIVERSITY OF ALABAMA
& ECONOMIC INDICATORS
Volume 68, Number 4
D
April 1999
Sixty-Five Plus in Alabama
uring the 20th century, the
number of persons in the
United States aged 65 or
older jumped by a factor of 11. The
elderly, who comprised only one in every
25 Americans (3.1 million) in 1900, made
up one in eight (34.1 million) in 1997.
Declining fertility and mortality rates also
have led to a sharp rise in the median
age of our nation's population—from 23
years old in 1900 to 35 in 1997. Between 2000 and 2025, the 65 and over
population in the United States is
expected to increase 78.5 percent,
according to the Census Bureau's
middle series projections.
Alabama's elderly population growth is
following similar trends. The number of
residents 65 and over increased from
just 54,306 in 1900 to 565,197 in 1997,
while the median age climbed from 18.9
to 35.2. From 2000 to 2025, the state's
elderly population is projected to increase almost 84 percent, from 582,000
to 1,069,000. By 2025 one in five
Alabamians could be elderly. Most of
this growth will occur after 2010 when
the leading edge of the baby boomers
(those born in 1946) have had their 65th
birthdays. Between 2010 and 2025 the
growth rate of the population over 65 will
be about 16 percent every five years. By
comparison, the total population of
Alabama will increase about three
percent every five years.
Back when the United States was
founded, life expectancy at birth stood at
only about 35 years. It reached 47 years
in 1900, jumped to 68 years in 1950, and
steadily rose to 76 years in 1996. In
causes of death among the elderly.
Though death rates from heart disease
have declined for the elderly nationwide,
it is not clear that heart disease for
elderly Alabamians is decreasing. Death
rates from cancer, on the other hand,
have been increasing both in Alabama
and the nation.
1996 life expectancy was higher for
women (79 years) than for men (73
years). By 2010 life expectancy will be
74 years for men and nearly 81 years for
women. Once Alabama baby boomers
reach 65 they can expect to live another
15 to 17 years.
Many assume health among the elderly
has improved because they, as a group,
are living longer. Others hold a contradictory image of the elderly as dependent and frail. The truth actually lies
somewhere in between. Poor health is
not as prevalent as many assume. On
the other hand, as more people live to
the oldest ages, there may also be more
who face chronic, limiting illnesses or
conditions, such as arthritis, diabetes,
osteoporosis, and senile dementia.
People with these conditions may become dependent on others for help in
performing the activities of daily living.
Aging brings increased chances of
being dependent.
According to the Alabama Center for
Health Statistics, heart disease, cancer,
and stroke, in that order, are the leading
The perception of “elderly” and “poor”
as practically synonymous has changed
in recent years to a view that the noninstitutionalized elderly are better off
than other Americans. Both views are
simplistic. Age, sex, race, ethnicity,
marital status, living arrangements,
educational attainment, former occupation, and work history are characteristics associated with significant
income differences. For instance,
elderly white men have higher median
incomes than other groups. Research
has shown that the better educated tend
to be healthier longer and better off
economically. Fortunately, educational
attainment among men and women,
blacks and whites, has increased significantly in our state during the past two
decades. When these people enter the
sixty-five-plus age group, we can hope
for an elderly Alabama population with
less poverty and fewer health problems
than is now the case.
Annette Jones Watters and
Carolyn Trent
Editor's Note: This article is based in part
on a Census Bureau monograph in the
Statistical Brief series, “Sixty-Five Plus in
the United States,” SB/95-8, May, 1995.
Alabama Taxable Retail Sales
Alabama retail sales reports point to a strong 1998 Christmas season. Sales totaled $3.14 billion in November 1998, 9.4 percent
higher than November 1997 sales. Preliminary numbers put December sales at $3.68 billion, 6.5 percent above preliminary sales in
December 1997. Sales figures typically rise 2 percent or more as late reports come in. November 1998 food store sales were 18.5
percent higher than a year ago, while general merchandise sales were up 16.5 percent. For November 1998 compared to
November 1997, sales at hardware and lumber stores rose 15.0 percent and automotive sales increased 10.3 percent.
1997
December
1998
January
February
March
April
May
June
July
August
September
October
November
December
($thousands)
3,565,170
2,669,863
2,783,912
3,161,649
3,156,424
3,251,400
3,267,974
3,192,831
3,218,804
3,023,289
3,135,326
3,143,288
3,676,475
Initial Unemployment Benefit Claims
Initial claims for unemployment benefits totaled 328,699 in 1998, up 10,159 from the number of initial claims filed in 1997.
Continuing job losses in both durable and nondurable manufacturing contributed to the 3.2 percent increase in claims. Apparel
manufacturing employment was down 5,200 in December 1998 compared to December 1997, while primary metals and industrial
machinery and equipment manufacturing employment were also substantially lower.
1997
December
1998
January
February
March
April
May
June
July
August
September
October
November
December
1999
January
2
34,996
63,890
20,567
20,846
21,172
20,091
22,403
41,461
17,163
18,048
25,747
24,206
33,105
57,282
Alabama Business and Economic Indicators
Residential Housing Permits
Low interest rates throughout 1998, combined with a mild winter, helped boost residential housing permits by 16.6 percent in 1998.
The 17,813 permits issued in 1998 accounted for the highest number of the decade. There were 2,530 more residential units
permitted in 1998 than in 1997.
1997
December
1998
January
February
March
April
May
June
July
August
September
October
November
December
963
944
1,436
1,490
1,612
1,492
1,481
1,414
2,142
1,345
1,963
1,359
1,135
Civilian Labor Force
Alabama averaged 2,148,158 residents 16 years old or older working or looking for work in 1998. This number was 26,042, or 1.2
percent, below the average size of the civilian labor force in 1997. With total employment down just 0.1 percent, unemployment
declined from an average of 5.1 percent in 1997 to 4.2 percent in 1998. Still, the state's civilian labor force included 3,700 more
workers in December 1998 than in December 1997. December 1998 unemployment stood at 3.6 percent statewide.
1997
December
1998
January
February
March
April
May
June
July
August
September
October
November
December
2,154,100
2,128,400
2,132,100
2,134,400
2,134,300
2,139,500
2,173,200
2,160,400
2,214,510
2,141,700
2,164,300
2,166,700
2,157,800
For more information about these and other Alabama economic indicators, please visit the CBER Internet site at
http://www.cba.ua.edu/~cber
Center for Business and Economic Research
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Alabama Business is a monthly publication of the Center for Business and Economic Research, Culverhouse College of Commerce, The
University of Alabama. Articles reflect the opinions of the authors, but not necessarily those of the staff of the Center, the faculty of the
Culverhouse College of Commerce, or the administrative officials of The University of Alabama.
All correspondence should be addressed to: Editor, Alabama Business, Center for Business and Economic Research, The University of
Alabama, Box 870221, Tuscaloosa, Alabama 35487-0221.
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