(Ames, IA) -- Dave Swenson in Iowa State University's Economics Department is making some predictions about Iowa's economic recovery from the COVID-19 pandemic. Swenson says he agrees with a Congressional Budget Office Prediction, that it could be 2022 before the nation is fully recovered. Swenson notes, however, Iowa's economy is in the midst of a slow, steady improvement. He says many jobs that were lost earlier in the year have now been recovered but says there's a long way to go before the state is back to pre-COVID economic conditions.
Swenson says the larger, more economically diversified cities in the state should have an easier time making a comeback, while mid-sized cities that have a lot of manufacturing may lag behind.
Swenson does not believe there will be a dramatic improvement, but that the pace of recovery will be slow. He says agriculture tends to temper economic ups and downs. He says food processing and food production also are stable during tougher economic times. He says, however, durable goods manufacturing can be more susceptible to economic downturns.