Kern’s economy recovers from pandemic better than other large cities, study finds | News – Bakersfield, California

Bakersfield, California 2021-08-02 21:30:00 –

According to a new report, Kern County’s economy has survived a pandemic better than most other large US cities, even though local small businesses have generally been hit hard in terms of closures and revenues. I did.

NS analysis On the financial advice website Kern’s personal consumption remained virtually unchanged from January 2020 to April 2021, during which time total job listings increased by about one-third and locals during the 15-month survey period. Employment levels have improved.

Overall, the survey ranked 14th among the 49 largest cities in the country when the county’s economic performance during a pandemic was measured under conditions before the arrival of COVID-19, compared to this spring. I concluded that it has been done.

Richard Gearhart, an economist at California State University, Bakersfield, said on Monday that one of the clear lessons included in the study was that a local small business was “totally wiped out” by a pandemic.

He wrote that the study suggested that people who were afraid of being infected with the virus significantly reduced their social interactions during the pandemic, and that this hesitation affected small businesses.

Gearhart also points out that Kahn is linked to the second-highest economy in the top 20 economies regarding SME closures, and factors unrelated to government contribute to the weakening of the local economy. Insisted.

If the study set aside farm work, Gearhart wrote, and it wouldn’t have worked as well as Khan compared to other big cities. He said the same could be said for Fresno, who ranked second overall in the Smart Asset report.

Salt Lake City got the highest score of all. Only three cities in California are in the top 20, including Sacramento in 15th place, just behind Bakersfield. Sacramento scored much higher than Bakersfield in terms of increased personal consumption, but far inferior in job listings.

The report focused on three areas of economic performance in January 2020 compared to April 2021. The number of SMEs operating and the revenue they generate. Changes in total job listings and changes in employment as measured by the government-reported unemployment rate.

Khan’s personal consumption during the study period decreased by less than a tenth of a percent. According to the report, the number of small and medium-sized enterprises in the county decreased by 35% in the meantime, and the income generated by those enterprises decreased by 28%.

In terms of employment, Kahn was relatively strong and job listings surged 32%. The report states that the county’s unemployment rate improved by 5.6 percent during the survey period.

Researchers have combined these various factors to create rankings based on how well they are above or below the average of 49 cities.

Gearhart said the apparent changes in consumer spending in the SmartAsset report are not necessarily good or bad. It may reflect the resilience of the region, but it may also suggest that there is not much discretionary income available in the region.

He further theorized that subtle changes in local spending levels reflected how government recovery incentives were used. He said such payments could have been spent locally on debt repayments rather than buying goods or services as a way to stimulate the local economy.

Kern’s economy recovers from pandemic better than other large cities, study finds | News Source link Kern’s economy recovers from pandemic better than other large cities, study finds | News

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