GREG MOODY / Arkansas Democrat-Gazette

About this project

Our New Reality

For decades, Northwest Arkansas has been the state's powerful economic engine. Retailers, food processors, trucking firms and a construction boom all fed the local economy and helped the state weather the vagaries of recessions and stock market bubbles.

But this time, no one is escaping the slowdown.

Like the captain at right, we are surrounded by peril. In our case, the clouds have brought plunging stock prices and home values, while waves of job cuts and other fiscal dangers bombard us nearly every day, leaving us to wonder where the safe harbor lies.

Our new reality can be a scary view. Who knew in late 2007 that we were entering a recession that would loom over us today? Optimistic economists say the downturn might run its course by the middle of this year. Others say we're in for a rough ride through 2010. Still others say it will stretch for years, until we drop into a second Great Depression.

But predicting the economy is akin to forecasting weather. No one knows for sure until the storm is over.

Locally, industry leaders J.B. Hunt Transport Services Inc. and Tyson Foods Inc. are struggling with fuel prices and other expenses. But that other Northwest Arkansas juggernaut, Wal-Mart, is booming as customers worldwide are looking for cheaper deals on everyday needs.

So we are left asking, "What is our new reality? How are we coping and what changes are Northwest Arkansas residents making to adjust to these times?" In this, the first of four annual special sections published Sundays in February, we look at where Northwest Arkansas stands today. What changes have we made and how are we staying afloat until the economy turns around? Arkansans are resilient folks. That's one of the things we learned while researching and writing this special report.  From jobs and government to churches and farms, they all recognize the need for adjustments.

In a round-table with six area residents, we asked what they are doing differently. All have made changes, including not eating out as much, canceling a family trip or repairing a broken appliance instead of replacing it. What also is changing is the attitude. Few are just sitting back and waiting for improvements. Retiree Paul Bynum perhaps said it best: "It's like you can sit there and you can feel fear if you want to, but you can also kind of take things in hand and say, 'What can I do? How self-reliant can I be? How can I overcome these things that I see as difficulties or problems?'" That fierce determination to solve the issue and chart a safe course is another part of what we learned is our new reality.

— Ray Minor