Fayette County has experienced minimal growth during the 1990s. Of all the counties in the CAHFC region, Fayette County grew the least, experiencing a mere 6.4 percent increase between 1990 and 1999 compared to the near 35 percent growth rate shown by the region as a whole. Employment levels in the county grew 15 percent during this period, however, it was marked with annual declines in 1993 and 1997. While almost 50 percent of the county's jobs are in the service and trade industries, Fayette County has the third highest percentage of its employment in manufacturing (12 percent), trailing behind Travis and Williamson Counties, which have a greater economic advantage in terms of manufacturing.
A factor contributing to Fayette County's slow growth is geography. While located between the major metropolitan areas of Austin, San Antonio, and Houston, Fayette County is too far from these cities for commuters. Austin, the closest major city, is approximately an hour away from La Grange. However, while not geographically attractive as a place for bedroom communities, Fayette County does have a geographic advantage that it should consider taking advantage of to improve its economy. The county is situated at the crossroads of trade in the state. State Highway 71 (which carries Austin to Houston traffic), U.S. 77 (which carries Corpus Christi and border traffic to Dallas), and IH-10 (which connects Houston and San Antonio) all pass through Fayette County, with intersections at La Grange (SH 71 & US 77) and Schulenburg (IH-10 & US 77). Serving as a geographical midpoint of these destinations, businesses and industries with markets in these major areas may wish to locate in Fayette County due to the transportation benefits.
Fayette County has and should continue fostering its strength as a tourist destination. The strong presence of the region's German and Czech heritage is evident in the area's architecture, food, and various festivals held throughout the year. The county supports a large number of bed-and-breakfasts for visitors coming to experience the small-town atmospheres of La Grange's county courthouse square or the antique shops in Round Top. Also, a lake developed by the LCRA as a cooling pond for the Fayette County Power Plant has become a popular tourist destination, especially for fishermen.
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