Testing the Resilience of Our Free Enterprise System: Observations on the Economic Impacts of COVID-19 on Colorado
As of March 24, 2020
Despite recent estimates forecasting the state will face a $1 Billion reduction in revenue from previous projections for the next budget cycle, it appears that those estimates will only be revised downward.
This table represents two scenarios that demonstrate potential impacts using the economic simulation model developed by REMI. It shows that just the shock of a reduction in 50% of business in 4 key sectors, including retail, arts, entertainment & recreation, accommodation and food services and drinking places. Total employment could be reduced by over 183,000 jobs – nearly the entire population of Fort Collins and Littleton combined – or 4.6% of the state’s total workforce.
CSPR will continue to monitor the impacts of COVID-19 and release updated economic impact analysis as the crisis evolves.
The full report includes more details relevant to the economic impacts of COVID-19 on Colorado.