Places a COVID-19 Recession Will Likely Hit Hardest
The coronavirus pandemic is a public crisis of historic proportions, threatening the health and economic stability of millions of Americans. With the April jobs report looming, economists are predicting the single largest monthly unemployment spike in U.S. history, as jobless claims have surged every week since President Donald Trump declared a national emergency in mid-March.
While no corner of the country will be spared the imminent economic downturn, certain areas will likely be far more affected in the coming weeks and months. The severity of the economic damage each city will sustain will likely depend on a multitude of factors. These factors include the type and size of businesses in the area as well as the coronavirus infection rate.
24/7 Wall St. created an index of these and other measures to determine which metropolitan areas the COVID-19 economic recession will likely hit hardest.
As nonessential travel has been suspended in much of the country and consumer confidence has diminished, industries such as oil and gas extraction, tourism, and transportation and warehousing will likely continue to bear the brunt of job losses in the coming weeks and months. These industries are economic pillars in the metro areas on this list.
Metro areas on this list also tend to have a high concentration of small businesses. Small businesses are at an elevated risk of permanent closure during the pandemic as they typically do not have the liquid capital of larger companies to stay afloat during prolonged closure. Establishments like bars and restaurants are particularly vulnerable. Here is a look at 35 popular restaurants that will not reopen after the pandemic.
Economic hardship will likely also be worse in areas with higher infection rates. In these places, consumers may be more reluctant to venture into public areas, and governments may be more likely to impose longer and stricter measures to contain the spread. Here is a state by state look at when COVID-19 restrictions will be lifted.