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Regional Economic Digest
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| Regional Economic Update By Kendall McDaniel The Tenth District economy grew moderately in the fourth quarter of 1996. The district's energy and farm sectors strengthened, manufacturing improved modestly, and construction activity held steady. District employment rose, causing the unemployment rate to edge down. Back to top Regional Economic Digest home Survey of
Tenth District Manufacturers Manufacturing activity in the Kansas City Federal Reserve District continued to improve in January, according to a quarterly survey of manufacturers across the district. The survey takes a snapshot of manufacturing activity during the first month of each quarter by asking plant managers about a variety of manufacturing indicators. By most measures, manufacturing showed a modest expansion during January. District factories left their materials inventories unchanged and slightly boosted their stocks of finished goods. Prices received for finished goods generally remained unchanged, while prices of raw materials increased only slightly. Overall, manufacturing remained stronger than a year ago, and manufacturers were optimistic about the outlook for the next six months. Back to top Regional Economic Digest home Survey of
Agricultural Credit Conditions Agricultural credit conditions in the Tenth Federal Reserve District improved during the fourth quarter of 1996, according to a survey of 348 agricultural bankers. The conditions reflect continued strength in returns for crop producers and slightly improved conditions for cattle feeders. Land values continued to increase, loan demand strengthened, and loan repayment rates improved. However, most commodity prices fell during the quarter, limiting otherwise strong farm income gains for the year. Back to top Regional Economic Digest home Small Business Lending at Tenth District
Banks One of the most important roles commercial banks perform is to lend to small businesses. Such lending is vital to the regional economy because small businesses generally lack access to alternative sources of credit and because they account for a major share of job creation. Moreover, small business lending is crucial to the health of district banks because it is one of the few profitable activities in which banks continue to enjoy clear advantages over other financial institutions. Back to top Regional Economic Digest home Economic Indicators |