Published Jan. 27, 2022 Illinois’ economy was shaken by the COVID-19 pandemic, but 2021 was supposed to be a year of recovery. Unfortunately, the policy climate continues to be the state’s biggest liability despite high vaccination rates, great natural endowments, a talented workforce, a large financial sector and a growing tech industry. While Illinois boasts...
Illinois, California and New York shrank the most and lost people fastest during the COVID-19 pandemic. Texas and Florida grew the most. Idaho, Utah and Montana grew the fastest.
The pandemic caused the largest and shortest economic contraction in U.S. history. But as other states recovered, Illinois’ economy remained $17 billion below the pre-pandemic trend through the first half of 2021.
State revenue losses around the country have ranged from far less than expected to non-existent. Fiscally healthy states are giving back to taxpayers. That doesn’t include Illinois.
Illinois’ high levels of corruption damage the state’s economy, costing it $10.6 billion since 2000. States with higher levels of corruption average lower levels of economic growth.
Business sectors directly affected by the coronavirus and mitigation employ 1.5 million Illinoisans. The longer the shutdown, the more industries and jobs face cuts.
New data show Illinois lost private sector jobs amid a national economic expansion for the first year on record in 2019, a sign of the state’s deep structural problems in the run-up to the current market downturn.