The three county area that comprises Central Wisconsin, Marathon, Portage, and Wood, continues to prosper in Second Quarter 1997. The unemployment rates are very low, after many years of brisk growth employment is at very high levels, and business executives are sanguine about the current economic situation. If the national economy remains on its forecasted course, the state and region should continue to enjoy economic prosperity. 

     The seasonally unadjusted unemployment rates for Central Wisconsin's counties remained at very low levels during Second Quarter (Table 2). The rates in Portage and Wood were 4.7 and 4.5 percent respectively. These figures, while extremely low, were slightly higher than a year ago. Marathon county, however, experienced a continued decline in its unemployment rate. The measure dropped from 3.8 to 3.5 percent. Overall, Central Wisconsin's labor force weighted unemployment rate rose ever so slightly, from 4.0 to 4.1 percent.

     With tight labor markets prevailing throughout the state, the result of a decade of strong economic growth, it was inevitable that employment creation would slow (Table 3). Total employment in Marathon county increased by approximately 0.3 percent and likewise employment expanded by a modest 1.0 percent in Wood county. Portage county total employment was estimated to have contracted since last year. For the state as a whole job expansion was a scant 0.2 percent.

     Industrial sector growth has slowed for the reason already alluded to earlier in this report (Table 4). Central Wisconsin industrial sector employment increased by just 1.6 percent in a year over comparison. Manufacturing, services, and trade grew by 1.7, 2.4, and 5.1 percent respectively. However, construction and government payrolls were down by 3.4 and 5.1 percent over the period.

     Retail sales is an important indicator of economic activity for an area (Table 5). Portage county sales tax collections rose dramatically from $739.4 to $893.1 thousand, or by about 20 percent, over the period. Marathon county also experienced an increase. The change in collections was a more modest 3.1 percent. However, Marathon county has experienced many years of robust growth in its retail sector which makes continued large increases more difficult to achieve.

     The CWERB's panel of area business executives expressed a greater degree of optimism this quarter as compared to last (Table 6). Recent changes at the national and local levels were said to be much better than last quarter. Moreover, the group believes these improved conditions will prevail over the next several quarters. In other words, they do not see a reversal of fortune coming anytime in the near future. This is especially true when it comes to their particular industry.