What will happen to New Jersey’s economy for the rest of the year?
It turns out that no one is entirely sure, given the variety of economic signals that are currently being jumbled together.
As is often the case, “some indicators are improving, others are getting worse,” said James Hughes, an economist at Rutgers University.
While many products continue to rise in price, retail sales actually rose 1% last month, indicating that consumers are still spending money.
Inflation bad but job market still good
Hughes said inflation was still the worst in decades, but at the same time, “the labor market still looks very strong. We’ve had good job growth in New Jersey and a tremendous number of There are unfilled jobs and there are still signs of calls for help across the Garden State.”
When the housing market is adversely affected by rising interest rates, Hughes said, “people will feel that their wealth status is being eroded. Inflation is already pulling down their wages, their purchasing power, etc.” is declining.”
Worse than ever?
He said there was another negative indicator in the latest consumer sentiment index released by the University of Michigan.
Hughes noted that many Jersey families are still in relatively good shape amid this waning optimism.
money to spare for now
“They are still piling up the savings that have accumulated over the 20 and 21 years when the federal bailout fund strengthened household status,” he said.
He said the fact that gasoline prices are falling is another good sign for consumers.
What do you think will happen next?
Hughes said the ongoing coronavirus shutdown in China and Russia’s continued aggression into Ukraine have caused a fairly high degree of instability around the world and here in Jersey.
“I think all we can say is that there is a lot of uncertainty, but we are not in an economic abyss and the economy is still strong overall.”
Beautiful sunflower fields to visit at NJ 2022
One of the reasons the “Garden State” remains a fitting nickname for New Jersey is that the end of summer means the arrival of sunflower season.
There are at least six fields statewide. Some flowers bloom in early August, while others reach their peak from late August to late September.
If weather seems to be an issue, we recommend calling or emailing before heading out.