According to some measures of activity the national economy appears to have been very robust during 1994. Real Gross Domestic Product expanded by a brisk 4.1 percent from December 1993. Industrial Production rocketed upwards by an estimated 9.4 percent. Thus, our nation's factories are producing at a substantially accelerated pace. Meanwhile, interest rates continue to rise primarily because of credit tightening on the part of the Federal Reserve. The Consumer Price Index in Table 1, the most basic measure of inflation, rose just 2.7 percent from last year.

     There was a general improvement in the unemployment rate situation in Central Wisconsin for 1994. Every county experienced a declining unemployment rate. Wood County's rate fell to just 3.8 percent. Meanwhile, the Portage and Marathon County rates dipped to about 4.5 percent. The United States economy is now out of recession as reflected in the continual decline in its rate which is now down to just 5.1 percent.

     There an: now 136,600 jobs in Central Wisconsin up from 135,500 in December 1993. These 1,100 positions represent a growth rate of about 1.0 percent. All of the growth took place in Portage and Marathon counties. Specifically Portage County's employment rose from 34.5 to 35.2 thousand and in Marathon from 62.8 to 63.4 thousand. Wood County payrolls are estimated to have declined by 200, or 0.5 percent.

     Employment expansion in Central Wisconsin's industrial sectors was broad based. Manufacturing, services, trade, construction, and government grew by 3.7, 13.5, 1.6, 2.2, and 0.6 percent respectively. The largest absolute increase in terns of jobs was registered, as usual, for services. Growth in this category amounted to a very robust 5500. In sum, the three county regional economy expanded by 5.8 percent over the past twelve months and total net new jobs created amounted to 7300.

     Key Central Wisconsin Industrial sector employment experienced zero net growth in the Fourth Quarter. However, finance, insurance, and real estate along with paper products managed to post gains of 1.1 and 7.6 percent. But these gains were offset by the 1.6 and 16.7 percent declines in lumber and wood products and food processing.
 

     Regional business leaders have become more optimistic in their assessment of recent changes in the national and local area economies. Further, this group holds the collective opinion that economic matters will continue to brighten for the country, the area, and for their particular industry. The consensus opinion of economists is that the national economy will continue to expand in 1995 but at a slower rate than 1994's approximate 4 percent.
 

     The Marshfield‑Wood County economy presents us with some interesting results for Fourth Quarter 1994. For example the Marshfield Index estimates that area payrolls expanded by approximately 3.5 percent since December 1993. Additionally industrial sector employment for the entire county has expanded by 1.1 percent. All in all the economy was improved as indicated by the majority of the economic indicators.