Sarasota, FL (WorkersCompensation.com) – Better times are just around the corner, a growing number of executives across the U.S. report. In a just- released 2021 National Business Trends Survey from the Employer Association of America (EAA), 44 percent of company executives see an improving economic outlook in 2021.
Bill Schweers, a lawyer and assistant professor in the Department of Political Science at Carlow University, said businesses are resilient and this latest survey confirms that the economy will pick up again.
Schweers predicts that the first sign of resurgence will come in the transportation and hotel sectors. “There is so much pent up demand for travel that those sectors will start coming back,” Schweers said. He points out that those restaurants that survive the pandemic will be even stronger in 2021.
“The stay-at-home stocks like Amazon and Netflix also will do well in 2021 as more people continue to work from home, and companies find value in letting employees stay at home to complete tasks,” said Schweers.
Both Netflix and Amazon have become truly massive long-term winners over the past decade, with Amazon up 2,490 percent and Netflix up an even more stunning 3,220 percent over the past 10 years, according to the U.S. Stock Exchange. Schweers says the national survey is right on the mark.
When executives were asked if the overall U.S. economy in the next 12 months will “improve, stay the same, or decline,” the largest segment of respondents (44 percent) said they think it will improve, as opposed to last year when 12 percent expected the economy to improve – and that was before the pandemic had developed.
This year, 33 percent think the economy will stay the same, as opposed to 52 percent last year. Only 24 percent think it will decline, compared to 36 percent a year ago, the EAA survey reported. The annual survey shares information nationally about what business executives are doing to address the business climate. Survey responses also reflect the concerns for the ongoing COVID-19 crisis.
And in a new economic outlook, the Federal Reserve predicted the real GDP (gross domestic product or the total number of goods and services produced in a given year as measured by their market price) will grow 4.2 percent next year and 3.2 percent in 2022.
In other outlooks, survey results this month from the National Association of Business Economists point to 3.4 percent annualized real GDP growth nationally in 2021.
“Announcement of the vaccines being allocated has also had a lot of positive bearing on the economy, ‘’ said Schweers.
More than 614,000 people have received a dose of the Pfizer-BioNTech vaccine, according to the Centers for Disease Control and Prevention, as the U.S. begins an unprecedented mobilization to deploy vaccines and eventually end a pandemic that has upended every aspect of American life.