Economic Update for Illinois' Metropolitan Areas:
First Quarter 1994

By JOHN B. CRIHFIELD and MIGUEL GOMEZ

Retail spending in Illinois chalked up its best quarterly gain in over a year during the first three months of 1994. Inflation-adjusted sales grew 5.3 percent compared to the same period a year ago. This was the largest gain since 1992's fourth quarter. Joliet once again led all metropolitan areas in the state with an inflation-adjusted gain of 8.8 percent. The Joliet metropolitan area, defined as Grundy and Will counties, has out-paced the other 12 Illinois metro areas in 3 of the last 5 quarters.

Gains were evenly spread around the state. Even the slowest reported growth in Rock Island-Moline exceeded 2 percent.

In descending order, inflation-adjusted spending growth in metropolitan areas were as follows (first quarter of 1994 compared to first quarter of 1993): Joliet (8.8%), St. Louis (Illinois part, 8.1%), Peoria (6.5%), Lake County (6.1%), Aurora-Elgin (5.7%), Bloomington- Normal (5.7%), Decatur (5.5%), Kankakee (5.4%), Springfield (5.2%), Chicago (5.0%), Champaign-Urbana (3.6%), Rockford (3.0%), and Rock Island-Moline (2.1%).

Spending in housing related categories led the way. Sales of lumber and hardware related items grew over 14 percent in the state overall, while furniture and other household related items grew over 10 percent. Sales of general merchandise were also strong, registering an increase of almost 9 percent. Spending growth in rural areas and metropolitan areas were almost identical (5.0 percent compared to 5.3 percent), while growth in the 9-county Chicago region was the same as in the rest of Illinois (5.3 percent).

First-quarter growth rates and retail sales for all metropolitan areas in Illinois are shown in the table.

John B. Crihfield is an assistant professor in the Institute of Government and Public Affairs and in the Department of Agricultural Economics at the University of Illinois at Urbana-Champaign. Miguel Gomez, is a graduate student in the Department of Agricultural Economics at the University of Illinois at Urbana-Champaign.

Economic Activity in Illinois by Metropolitan Area: 1993 Qrt. 1 — 1994 Qrt. 1 Percentage Metropolitan Area Total Retail Spending Change in 1993 Ql 1994 Ql Total Spending Illinois $21,108,180 $22,221.033,427 5.3 Aurora-Elgin PMSA 685,571,471 724,795,064 5.7 Bloomington-Normal MSA 296,120,999 312,956,771 5.7 Champaign-Urbana-Rantoul MSA 315,448,986 326,781.203 3.6 Chicago PMSA 11,892.387,874 12,484,565.072 5.0 Davenport-Rock Island-Moline MSA 333.192.091 340,143,818 2.1 Decatur MSA 233,986,953 246,754,812 5.5 Joliet PMSA 627,462,591 682,535,212 8.8 Kankakee MSA 167,834,076 176,943.795 5.4 Lake County PMSA 1.200,538,371 1,274.259,579 6.1 Peoria MSA 654,167,910 696,489,646 6.5 Rockford MSA 569.001,188 585,790.083 3.0 Rural Counties 2.807,308,644 2,947,835.156 5.0 Springfield MSA 409,363,233 430,647,022 5.2 St. Louis MSA 916,100,794 990,193 8.1

Notes: Values are for the first quarter (January, February, March) and are in March 1994 dollars. Data are from the Illinois Department of Revenue. Analysis is by the Institute of Government and Public Affairs, University of Illinois.

August 1994 / Illinois Municipal Review / Page 19