Two possibilities in Hampton Roads

The Old Dominion Economic Forecasting Project used two models to forecast the possible effects of defense cuts on the region.

ODU economists, however, do not think either scenario is likely.

 

	Reduction in DOD spending	GRP loss	Job loss	Jobs as a percent of region total	Percent GRP loss
Congressional Budget Office estimate (7 percent cut)	$1.45 billion	$2.64 billion	26,900	2.69%	3.19%
Center of Strategic and Budgetary Assessment (11 percent cut)	$2.28 billion	$4.16 billion	42,450	4.24%	5.02%

DOD: Department of Defense GRP: Gross regional product

Nominal GRP in 2011 is estimated at $82.36 billion; DOD spending estimated at 20.75 billion.

Source: Old Dominion University Economic Forecasting Project