North Idaho economy growing, but not as quickly

COEUR d’ALENE – Kootenai County’s economy is still growing, but at about half of last year’s accelerated rate, a state economist says.

Job growth in the construction and real estate sectors is starting to slow down, and other industries are returning to more normal growth rates, said Kathryn Tacke, a regional economist for Idaho’s Commerce & Labor Department.

Tacke said the biggest risks facing North Idaho’s economy are the possibility of a rapid reduction in construction activity, and a steep national drop in home construction. A slowdown in U.S. housing starts is already depressing lumber prices, she said.

Unemployment rates, however, remain at historic lows. Between July and August, the numbers of people looking for work dropped in all five of the Panhandle’s counties.

Kootenai County posted a 3.7 percent unemployment rate in August, with nearly 68,000 people working in the county.

Bonner County’s unemployment rate was 4.4 percent in August. In Boundary and Benewah counties, temporary layoffs at mills contributed to August’s unemployment rates of 7.5 percent and 9.2 percent, respectively.

Shoshone County had a 7.9 percent unemployment rate in August.