Date of this Version
Business in Nebraska vol. 53, no. 632
Despite some recent difficulties in the farm sector, the Nebraska nonfarm economy will continue to grow in terms of employment, income, and sales. Total nonfarm employment will grow 2.9 percent in 1998, (Figure 1) a growth rate rivaling annual rates experienced in the 1986 to 1990 and the 1992 to 1995 periods. In 1999 and 2000 total employment growth will return to the rates experienced in the 1996 and 1997 periods. While Nebraska's employment growth rates may not appear spectacular, they reflect steady progress in a state with limited population growth.
Strength in employment growth leads to strength in income growth. Nebraska's nonfarm total personal income will rise by 6.0 percent or more each year in the 1998 to 2000 forecast period. Tight labor markets, fueled by continued employment growth, will lead to wage pressures. As a result, wages and salaries will increase by 7.5 percent or more each year in the forecast period. None of the other major components of personal income will grow as fast.
Nonfarm Personal Income
Net Taxable Retail Sales