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02-13-1989 Council Packet
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02-13-1989 Council Packet
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11789.3 <br />1988 CORPORATE REPORT <br />Attachment:A. Orono Statistical Index <br />B. City of Orono - Personnel Diary <br />C. Building/Zoning Summary <br />D. 1988 Investment Summary <br />INTRODUCTION - For the sixth year in a row the United States <br />economy has continued its expansion and the anticipated downturn <br />has not yet materialized with unemployment having reached the <br />lowest rate in the Country in 15 years. Other positive economic <br />trends included lessening of the Federal deficit although the <br />proposed 1990 budget still has a 91 billion dollar deficit. <br />Additionally the monthly trade deficit has decreaded, however, it <br />does continue to grow on an aggregate basis. The dollar has <br />continued to be rather weak, although it showed some strength in <br />mid-summer and again late in the year into 1989. It is <br />anticipated that a general instability will continue as long as <br />both the Federal and trade deficits are a problem. The positive <br />economic news for the country resulted in a Republican being <br />elected to the White House with Democrats gaining greater control <br />in both the U.S. House and Senate. <br />One of the biggest issues in the news during 1988 was the <br />prolonged drought and high heat particularly in the Midwest. For <br />some this was clear and convincing evidence of the Green House <br />Effect (better termed "The Hot House Effect") brought on by a <br />combination of human made fluorocarbons in the air, increased <br />carbon dioxide levels due to energy usage and the substantial <br />amounts of rain forests being cut down in the world. Others, <br />however, feel that the drought and heat were of a cyclical nature <br />nd may in fact be due to unseasonally warm waters off the west <br />^st of South America. <br />. Minnesota the drought was a substantial concern for wide <br />areas of the state and many farmers were surpri^; even <br />harvesting half the yields that they normally v , x. The <br />Legislature continued to find the Metropolitan area of the state <br />to be the "Engine" of the economy and continued to increase taxes <br />on this source of wealth. Violent crime was on the upswing, <br />particularly drug related crime, with an upswing also in fire <br />relat deaths in the state. The state's economic picture has
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