Reactions to COVID-19 have resulted in financial setbacks around the world. University of Arizona Eller College of Management economist George Hammond explained some of the repercussions and their impact in Arizona.
“The spread of the virus and our reaction to the virus is going to have a big impact on the travel and tourism sectors,” Hammond said. He added that leisure and hospitality as well as the arts and entertainment industry encompass about 11% of jobs in the state.
According to Hammond, most of the economists he has spoken to put the odds of a recession at 50% as a result of the coronavirus.
“That would be kind of a moderate downturn starting during the April to June period. So, next quarter, probably lasting for a quarter or two,” Hammond said. He estimated it would take several quarters for the economy to recover.