Pandemic uncertainty slowing Utah’s economic growth, new report finds
Utah’s economic growth is slowing, according to new surveys from the University of Utah’s Eccles Economic and Business School. (Shutterstock)
SALT LAKE CITY – The Utahns spend less, jobs are apparently plentiful when skilled workers aren’t, and the COVID-19 pandemic remains largely unpredictable, contributing to the Hive State’s economic downturn, according to de new data from the University of Utah David Eccles School of Business.
Five hundred Utah households surveyed in August show an expected 4% drop in spending over the next three months from June, according to the school report. Marriner S. Eccles Institute for Economics and Quantitative Analysis. While most companies still expect steady growth through the year, data for the 1,000 companies included in the August report showed a significant slowdown from July, likely due to the uncertainty surrounding COVID-19, the delta variant and consumer demand.
The slowdown in spending is primarily the result of e-commerce – home electronic and food deliveries – which have exploded throughout the pandemic. Prices for food, utilities and entertainment rose in August, and house prices are still extraordinarily high.
“The slower growth in spending suggests some concern and increased uncertainty about future economic growth,” write the Mac Gaulin authors, Nathan Seegert and Mu-Jeung Yang, assistant professors at U.
Companies have also reported lower inflation and a potential ‘skills shortage’ in the workforce, which means companies are struggling to find employees who meet all the requirements and have the skills. sought after by employers. According to survey data, companies generally see candidates who have 80% of the skills they are looking for, and companies would be more likely to hire more employees if they found matches with more skills.
While businesses are not entirely satisfied with applicants, employees and applicants are increasingly dissatisfied with employers. The United States has seen an unprecedented number of employees quit their jobs and not apply for low-paying positions. There has been a shortage of nurses, teachers, vets, bus drivers, psychologists and other positions in many industries.
And those shortages will likely only increase in the future, according to the Utah report. A large minority of 28% of respondents said they are at least fairly likely to quit their job in the next three months due to low pay or better opportunities elsewhere.