University of Michigan researchers told state officials at this month’s revenue estimating conference they anticipate a gradual economic recovery in the next few years, resulting in an unemployment rate of 6.8 percent by the end of 2022.
The number of Michigan companies using work sharing has spiked during the COVID-19 pandemic but the state program meant to avoid layoffs still represents relatively few participants compared to the number of workers fully unemployed.
Shrinking revenue from sales, income and gasoline taxes could cost state and local governments billions of dollars in the coming months, potentially cutting already stretched services and leading to a prolonged recession without sufficient federal support.
Three weeks ago, Tim Bartik laid out a series of steps to encourage a “V-shaped” economic recovery from the coronavirus pandemic.
Gov. Gretchen Whitmer and federal lawmakers have taken a variety of steps to help businesses and employees navigate the short-term harm posed by the coronavirus.
For Michigan companies scaling back but not completely shutting down as the state tightens restrictions to stop the spread of the coronavirus, a little-used program is drawing new attention as an alternative to layoffs.
Whitmer’s order this week expanding unemployment benefits is part of a suite of state and federal policy options to shield small businesses affected by the coronavirus pandemic.
For this 13th installment of Crystal Ball, MiBiz reporters interviewed dozens of West Michigan executives about their outlook for the state and national economy and the indicators they’re watching as they prepare their businesses for the new year. While no single issue seemed to rise to the top this year, here’s a subjective list of their concerns that came up most often, ranked in no particular order.
If the long-promised economic downturn is on the horizon, manufacturers will be the first to feel it in 2020. That’s according to economists and industry experts who say the U.S. economy has become virtually split as it’s powered by confident consumers but weakened by a cautious business sector that is reducing investments and bracing for a contraction.
Fears of a national recession in 2020 are largely unfounded. So insists Jim Robey, director of regional economic planning services at the Kalamazoo-based W.E. Upjohn Institute for Employment Research.