Most economic indicators for the Wausau area suggest that the economy here remains on an upward path even in the face of the national recession. However, there are signs that the economy, while growing, is being affected by the national situation. The unemployment rate has risen slightly but perhaps more importantly total employment was just 0.5 percent or 300 positions higher than last year. Thus, overall, economic conditions at the local level appear to be substantially better than in many other parts of the country.
 

     As stated in previous Quarterly Economic Indicators, the diverse economic structure of the state and area puts us in a reasonably good position to handle the current economic downturn. The wide variety of activities in our region helps spread employment over a large number of employers. Further, excessive financial speculation which nags many other parts of the country is not evident in ‑Wisconsin or our region. Finally, our area may not be recession‑proof, but it should be able to weather any downturn much better than during the recession of the early 1980s, due in part to a concerted effort by Wisconsin businesses to streamline operations and become more competitive in the global marketplace.
 

     Industrial sector employment figures in Table 7 show that the Marathon County area economy added 1200 jobs over the course of the year. This is a healthy 2.2 percent rate of growth for the twelve month period. All classifications were higher except for manufacturing and government where payrolls contracted by 100 each. The service sector set an all‑time record reaching a level of 17.7 thousand in total employment, a gain of 1000 from 1989. Likewise trade established a record with 14.3 thousand jobs. The results for Marathon County are quite pleasing given the difficulties other parts of the country are having trying to maintain past employment levels.
 

     Retailers on the CWERB local panel express a significant amount of confidence even in light of negative national economic news. This group of merchants believes that recent retail activity was stronger than last year in terms of sales and store traffic, suggesting that the local economy has not experienced much, if any, downturn. Further, they believe that the local economy will sustain sales and store traffic at a level comparable to a year ago in the upcoming quarter. This information bodes well for the area because it implies a continuation of economic good times, Table 8.
 

     The help wanted advertising index, a barometer of future hiring activity, suggests that the number of jobs being advertised in December 1990 fell by 6.5 percent from 201 to 188. This is the third time in four quarters that the index has fallen. Alone, this indicator says that the local job market may be softening in the periods ahead. Nationally the help wanted advertising index dropped by a dramatic 28 percent foretelling a future weakness in the hiring plans of businesses across the country, Table 9.

     Table 10 and Table 11 are indicators of local family financial distress. Mixed results are given for fourth quarter 1990. For public assistance the total caseload on a monthly average basis fell by 43 percent and the average for initial claims fell by 31 percent. Thus, much progress was made in the public assistance area over the past year. Further, over the past five years decreases in the above measures have been quite dramatic. On the other side of the coin, unemployment claims on a weekly average basis have jumped for both initial and total claims. Initial claims increased by 7.5 percent and total claims by 23 percent. These increases are in sharp contrast to the results presented in Table 10.

     The residential construction scene in the greater Wausau area continues to be a hot news item for the local economy, Table 12. Very substantial increases were recorded for the number of residential permits issued, the estimated value of new construction, and the number of housing units. The dollar amount of residential alterations was also markedly above last year's total. Pent‑up demand and a strong local economy over the last several years, along with lower interest rates are driving this important indicator of economic well‑being.

     Nonresidential construction activity is given in Table 13. This highly dynamic and changeable category of economic activity is presented without percentage changes to avoid possible distortion. The results for fourth quarter 1990 were consistent with if not better than those usually reported for this time period. This suggests that businesses are positive about the long‑run viability of the area.

     Table 14 displays this quarter's results for financial activity. The sample taken from area financial institutions shows that deposits are at a record level of $698.3 million. Nearly $46 million in deposits was added from last year for a fine 7.0 percent growth rate. Bank lending in the sample expanded at a somewhat slower rate than in previous quarters growing by a modest 3.3 percent to $525.6 million.