The Wausau area economy results for second quarter 1991 were a mixed bag. Some indicators were good while others were not up to past standards. The total number of people employed increased by approximately 1.3 percent and nonfarm employment grew by approximately 3.6 percent. These measures plus others in this quarter's report show that on balance the economy is growing, but there are some weak spots that should not go unreported. Principally, the unemployment rate rose to 5.5 percent. This mark still remains below the full employment threshold but the upward trend is worth watching. Further, unemployment and public assistance claims data indicate that some important local employers are being forced to cut back their work forces. With this in mind, financial statistics for the area increased not at all from last year if the nominal numbers are adjusted for inflation. Lastly, with regard to the county's dairy farmers, the reduced level of milk price supports creates a real loss of income to our area. In sum, the local area economy continues to weather the recessionary storm that is sweeping other parts of the nation. But that does not preclude its influence being felt by some of our residents.
 

     Marathon County nonfarm employment by major industrial sector shows the recession has had little impact on this quarter's results, Table 7. Each and every category of employment reached an all time record regardless of the quarter of the year. Even though the nation is in the midst of an economic downturn, the area economy created approximately 1900 jobs for a gain of 3.6 percent. Service sector employment paced the local expansion by providing 900 new jobs.
 

     According to the CWERB's panel of local merchants, store traffic and sales were much better than one year ago (Table 8). The measures are the highest ever recorded for the month of June. This is a very pleasant development for the local economy. Further, the degree of optimism expressed was equally impressive. Local retailers are quite confident that store sales and traffic will continue to exceed last year's levels.

     Local labor market conditions, while softer than a year ago, remain stronger than during the base year of 1980 (Table 9). Note, as a matter of record, the help wanted advertising index has been below the corresponding quarter of the previous year in six of the last eight quarters. Lastly, and not surprisingly, the U.S. index fell by nearly 30 percent from a year ago.
 

     Recent layoffs in the Wausau area are reflected in the measures of local family financial distress. Table 10 indicates that new public assistance claims on a weekly average basis rose from 10 to 15 cases or by 50 percent. The total caseload for public assistance went from 76 to 90, which represents an 18.4 percent jump in this important measure of economic well being. The counterparts to public assistance claims are the unemployment claims figures (Table 11). Here too, initial claims shot up from 172 to 298 or a 73.3 percent gain on a weekly average basis. Further, total claims increased from 1493 to 2229, a 49.3 percent increase. Thus, it is apparent that some local employers are reducing their work forces, but the positive employment figures indicate that these job losses are being compensated for by other employers who have expanded operations.
 

     Signals from residential construction in the greater Wausau area were mixed for second quarter, Table 12. The number of residential permits issued, the number of alteration permits issued, and the estimated value of residential alterations were above last year's values by 5.1, 18.0, and 19.2 percent respectively. Categories showing declines were the estimated value of new homes and the number of housing units. The estimated value of new homes fell from $7,895,300 to $6,942,300 and the number of units dropped from 121 to 96 from last year.

     In Table 13 nonresidential construction numbers are presented for inspection. Due to the singular nature of this kind of activity no percentage changes are given. The number of permits issued during second quarter was 8, This is somewhat below the second quarter average for this type of activity. The same is true for the total estimated value of new nonresidential construction. On a more positive note, the number of alteration permits, 34, and the estimated value of nonresidential alterations were above historic second quarter averages.

     Financial data for Wausau in Table 14 clearly demonstrates a slowing in the rate of bank deposit expansion. In past quarters the growth rate has been above the 2.7 percent mark registered for this time period. Bank lending expanded by about $18.3 million. Here too, the rate of growth is smaller than in past years. Further, when the inflation rate is introduced into analysis, in real terms the dollar amounts are actually lower than in the preceding year.