Economists say the 4.8% drop in the U.S. GDP reflects a huge downturn in economic activity in New York and Connecticut, and that the region might not quickly recover.
UConn economist Fred Carstensen says Connecticut had a slower recovery from the last economic downturn than neighboring states that have stronger technology-based economies. And it will happen again.
“I expect that New York, Massachusetts and Rhode Island are going to recover more quickly than Connecticut. Historically we’ve always been slow to recover. We are going to be even slower to recover this time.”
Herman Berliner, a Hofstra University economist, says it’s not going to be an easy recovery even in New York.
“You just have to see the number of people on the subways. The number of people on the Long Island Rail Road or Metro-North. They are not going to work. But in many cases they are also not earning. They are not able to spend.”
Berliner says the length of the downturn will depend on how soon a COVID-19 vaccine can be developed and distributed.
Do you have questions you’d like WSHU to answer in local coverage of the coronavirus? Let us know via this survey.