ITHACA, N.Y. -- While most cities are feeling the effects of a weak economy, Ithaca's job market is expected to stay strong. A new report says the city is one of only five metropolitan areas in the United States not expected to lose jobs in 2009.

"I think the key thing is that it's critically tied to the two major universities in the area," said Dr. Vicki Bogan, a Cornell professor.

Students make up about half the population of Ithaca and more than 15,000 people are employed by either Cornell University or Ithaca College, a number that doesn't change with economic trends.

"In that sense, some of the employment is fixed and very strongly connected with the universities," Bogan said.

But despite this optimistic forecast, the city is taking a cautious approach.

"Right now, the city has a hiring freeze that the mayor put in effect for good reason. And then we also have a purchasing freeze," said Maria Cole, a member of the Ithaca Common Council.

Cole says the recession could affect Ithaca's economy in other ways.

"Number one, because we do not know what the state legislature will have to do to deal with their own financial problems. Number two, because we do not know what the impact on our sales taxes is going to be from people not having money to spend," Cole said.

But Cole agrees the city has been somewhat sheltered from the economic crisis.

"We do not find ourselves with a huge number of residents on the verge of losing homes,” said Cole.”We are very fortunate that way."

The city is expecting to receive an economic stimulus package from the federal government, and Cole says they're ready to use those funds to help boost the local economy.

Report from the Conference of Mayors