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One hundred people attended the Rotary Club of Jasper, 17th Annual Indiana University Kelley School of Business Economic Forecast Luncheon

One hundred people attended the Rotary Club of Jasper, 17th Annual Indiana University Kelley School of Business Economic Forecast Luncheon

 

(NNDC)

One hundred people attended the Rotary Club of Jasper, 17th Annual Indiana University Kelley School of Business Economic Forecast Luncheon, Thursday in Jasper.

Guest speakers were Timothy F. Slaper, with Indiana Business Research Center at Indiana University’s Kelley School of Business and Willard E. Witte, Indiana Business Research Center, Associate Professor Emeritus of Economics. The presentation provided up-to-date opinions regarding the world, national, and state economic outlooks for 2022 and beyond.

 

 

 

 

 

 

 

 

White noted that the current economy over the next year will not be “nice and smooth, and will have kinks.” Inventory on several products are low and will have to rebuilt,” but he expects many of the current problems to be worked out in the upcoming year. In regards to the labor shortage, White mentions that this was certainly caused by COVID 19 but also there has been a lack of participation, in particular in the female workforce. “Factors such as lack of childcare and taking care of elderly parents is a factor for women returning to the workplace,” White states.

Other points stressed by White include:

•    A “tremendous snafu” in global supply chain but he expects substantial progress during 2022.

•    Employment is still near 5 million below its pre-pandemic peak and is unlikely to regain that level until near the end of 2022.

•    Labor availability is likely to be a problem for businesses through 2022 and beyond.

On the international scene White, states growth will remain uneven due to the inequality in countries’ vaccine access and their ability to provide fiscal and monetary stimulus to support the recovery.

Slaper specifically addressed Indiana’s economy and calls it “Economic Vertigo”, meaning unemployment rates spiked and dipped throughout the past year and will continue to fluctuate, but mentions the employment forecast will grow modestly by
2.2 % in 2022. He states that 60,000 Hoosiers disappeared from the labor market and together with relatively low population growth in Indiana; will hamper overall economic growth. He stressed that small businesses in the State have suffered closures which in turn creates negative ramifications for communities.

White appeared to sum it up best saying, “we are flying blind” with the continued uncertainties in the national and global economy.

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