Rexburg economy remains stable

Allison Jenks
Scroll Staff

Area businesses such as Broulim’s grocery store maintain consistent sales. Dennis Jordan, manager of Broulim’s, attributes the security to the growth of the community and the BYU-I campus. Shelly McEuen / Scroll

The national unemployment rate has risen to 5.8 percent; 8.3 million people are out of work. Approximately 124,000 jobs have been lost since the beginning of 2001.

Retail stores had another frustrating year as the national holiday shopping season seemed to be a repeat of last year with no substantial profits or losses.

Layoffs and business downsizings have been a worry for the entire nation.

The Federal Reserve has dropped its interest rate to 1.75 percent, the lowest rate in 40 years. It is a method to combat recession, but the effects have not yet redeemed the economy.

Fortunately, the national economy has not affected the Rexburg community as harshly as it has the rest of the country. Idaho businesses are optimistic, though much of the country is fragile and worried.

The foundation of the economy is American spending, which accounts for two-thirds of the U.S. economy. Right now the American psyche is vulnerable. People seem to be spending time with family and friends, rather than throwing money at them.

Dennis Jordan, store manager of the Rexburg Broulim's Grocery, said that the store has had consistent sales for years. He attributes the security of the economy and businesses to the growth of the community and the BYU-Idaho campus.

"The students are a large source of income for the store. They account for approximately 70 percent of the store's income," Jordan said.

The four-year transition has attracted businesses and growth and when growth increases, sales increase. Growth in the Idaho Falls area has been sending business to Rexburg. The community has a positive future and should expect to see great growth, Jordan said.

The national economy is developing resilience, Alan Greenspan, chairperson of the Federal Reserve, said.

The immediate effects of the terrorist attacks have been painful, but for major long-term damage to the economy it would take more than the Sept. 11 attacks.

The $10 trillion U.S. economy is so diverse that an attack on a single entity creates a loss that is quickly filled by another company, facility, institution or other component.

The rare balance of the community and the economy in southeastern Idaho makes for stability in a country where stability is something others envy.

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