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Inside the Economy: Second Quarter GDP after COVID Shutdown

By August 10, 2020August 11th, 2020No Comments

This week on “Inside the Economy”, we reflect on the gross domestic product (GDP) and employment trends from the second quarter. What was the impact on GDP as a result of the lockdown? As spending and employment rates continue to recover, what is in store for the remainder of 2020? More job openings are becoming available and temporary layoffs are returning to the workforce, but what is the trend with permanent layoffs? Consumer spending has been down since many are staying closer to home, but it seems as if stimulus spending has helped boost spending during this difficult year. What industries have seen the direct impact of restricted spending? Tune in to hear this and much more!

Key Takeaways:

  • GDP declined at an annual rate of 32.9% in Q2 of 2020.
  • Temporary layoffs have dropped, but permanent job loss has been slowly climbing
  • Job openings are beginning to increase 
  • Decreased spending has led to less outstanding credit as Americans have more money to pay off loans and credit cards
  • Travel, real estate, consumer discretionary, and energy have all seen the impact of the stay-at-home order

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