"The largest employer in Fairbanks is the university," Windisch-Cole said. "That, and the large presence of the military are very important. Something like 20 percent of the population is military-related. A big part of the economy is in the public sector, including state and federal jobs.

"Contract work on the military's national missile defense project at Fort Greely is helping, too," Windisch-Cole said.

She said private construction projects also are plentiful in town this summer, and "the retail sector is making a rebound."

Tourism continues to play a significant economic role in the Interior, as does pipeline support and oil field support services, despite this year's reduced exploration and development activity in the petroleum industry, she said.

And, true to Fairbanks' historic tradition of hard-rock mining, there is still gold in those hills to the north and east.

"Another important employer is the Fort Knox Mine, and the city is benefiting from construction at the Pogo Mine in the Delta area," she said. "Fairbanks is an important mining support center."

Ron Woolf, chief financial officer for the City of Fairbanks, said there are approximately $65 million worth of construction projects on the streets this summer.

"It's going great," he said. "I think all the union halls are emptied out, with everybody out there working. There's the new Wal-Mart being built, and the Westmark Hotel is putting up an eight-story addition. Lot's of work getting done."

Woolf also said the missile defense project -- located near the small town of Delta about 100 miles to the south -- has obviously stimulated the Fairbanks economy this year.

On the other hand, Woolf said, the cost of housing in Fairbanks has gone up dramatically.

"It's probably a combination of all the stuff that's going on and low interest rates," he said. "But sometimes I wonder, if interest rates go up, how long will those homes will keep their value?"