Business

Evaluation reveals Flagstaff's financial system is susceptible to a doable COVID-19 recession – KNAU Arizona Public Radio

Economic analysts say the tourism and hospitality industries are likely to be particularly hard hit by the effects of COVID-19. In a recent report by the Brookings Institution, Flagstaff is listed as the 10th Most Vulnerable Area in the country. Ryan Heinsius from KNAU reports.

According to the study, 27.5% of Flagstaff's jobs are in industries that are at risk of a possible recession triggered by the COVID-19 outbreak. More than 17,000 people in the city work in restaurants, hotels and other tourism-related businesses and are already feeling the effects of the pandemic.

Flagstaff Mayor Coral Evans last week ordered all bars, cafes and restaurants to be temporarily closed to prevent the spread of the coronavirus and some have already been forced to lay off workers. The city doesn't track job numbers, so it's unclear how many have been lost or put on hold.

More than 24 million Americans work in industries threatened by a possible recession caused by COVID-19, according to the Brookings Institution report. The study predicts that mining, oil and gas, transportation, and employment services could also be hard hit.

Metropolitan areas that may perform better because of potential economic impacts are tech-focused university cities such as Provo, Utah and San Jose, California.

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Close