Wisconsin Quarterly Economic Outlook ReleasedRecession continues, ARRA provides $5.2 billion in Wisconsin
For Release: April 9, 2009
Contact: Carrie Templeton, 608-266-6466
MADISON – The national and state economies have further contracted since December as the recession enters its sixteenth month, according to the quarterly Wisconsin Economic Outlook released today by the Department of Revenue. The freezing of the credit market and the global impact are the major factors in the deepening of the economic crisis.
A special report in the outlook analyzes the $5.2 billion in tax benefits for Wisconsin families and businesses included as part of the American Recovery and Reinvestment Act (ARRA) signed by President Obama in February. Among the incentives for Wisconsin citizens are $2.3 billion through the Making Work Pay Credit and $141.5 million in increased Earned Income Tax Credits available to low-income working families.
With continued declines expected in the Manufacturing and Trade, Transportation and Utilities sectors, state employment will fall by 3.7% in 2009 and 0.1% in 2010 before recovery toward 2011. An outlier in this recession, the Education and Health Services sector is expected to add jobs this year and surpass the Manufacturing sector share of total nonfarm employment in 2010.
Wisconsin personal income growth remains stalled in 2009, with a recovery expected to begin in 2010. The outlook shows that real per capita income in Wisconsin declined 0.5% in 2008 but, aided by the deflationary outlook in 2009, will grow by an expected 0.5% this year.
"Serious economic challenges remain as the national and state recessions deepen, and it is more important than ever that we work together to create jobs and grow our economy,” said Revenue Secretary Roger M. Ervin. "Through national efforts like the American Recovery and Reinvestment Act and state efforts like Governor Doyle's budget, we will continue to invest in economic development and put Wisconsin on a path of recovery.”
The full report is available at: http://www.revenue.wi.gov/ra/0903/0903econ.pdf
Last updated April 9, 2009