The Impact of COVID-19 on Georgia Small Businesses
The Economic Impacts of COVID-19: Evidence from a New Public Database Built Using Private Sector Data is a data-centric publication that offers several key findings on how U.S. small businesses have been impacted by the coronavirus pandemic. The accompanying interactive data set provides visualizations and raw data for viewing the findings at a state level.
The following summarizes some of the key findings related to Georgia small businesses impacted by the coronavirus pandemic.
Small business revenues declined most in affluent areas.
The sectors in which spending fell most consist of goods produced by small, local businesses (e.g., restaurants). Small businesses in the most affluent ZIP codes — which tend to cater to high-income customers — lost more… compared with… the least affluent (low rent) ZIP codes.
Source: The Economic Impacts of COVID-19
Georgia small business saw a 28.7% reduction in revenue in low-income areas vs a 37% revenue reduction in high-income areas due to the economic impact of COVID-19.
The number of Georgia small businesses open in high-income areas was slightly higher (33.8%) than in low-income areas (31.8%).
Job losses at small businesses have been largest in affluent areas.
In the highest-rent ZIP codes, more than 50% of low-wage workers at small businesses were laid off… in the lowest-rent ZIP codes, fewer than 30% lost their jobs.
Source: The Economic Impacts of COVID-19
State-ordered re-openings of economies had small effects on economic activity.
By comparing the trajectory of early-opening states to similar states that remained closed, we find that reopenings increased spending and revenues only modestly. f economies had small effects on economic activity. These findings show that it is the fear of COVID19 itself, not executive orders restricting business activity, that are the primary cause of reduced economic activity and job loss.
Source: The Economic Impacts of COVID-19
Stimulus payments increased spending… but they did not lead to large gains for the businesses most affected by the crisis….
Most of the additional spending induced by the stimulus went to goods that require no in-person contact…. The businesses most affected by the crisis — in particular, small businesses in affluent areas — received relatively little of the revenue from this surge in consumer spending.
Source: The Economic Impacts of COVID-19
Sage & Digital provides digital marketing and digital operations support to small- and micro- businesses. We help early stage businesses use web-based technology and digital storytelling to generate leads, increase revenue, and establish consistent business processes and systems. We help early stage business owners develop the skills needed to become influential business leaders.
Contact us: www.sagedigitalpro.com | Email: info@sagedigitalpro.com
