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Utah’s Economy Amid a Pandemic Most Utahns only heard casual mentions and a few news reports about a new highly contagious respiratory virus as 2020 started, and the state’s economy was firing on all cylinders. The state had just been named “America’s economic star” by The Wall Street Journal. In the past decade, it also enjoyed six top-three rankings as the country’s best economy by Forbes, including three times in the No. 1 spot. Utah’s economy also received top marks from the latest Hachman Index report, identifying Utah as having the country’s most diverse economy. And, 2019 concluded the state’s most successful tax credit program to-date, with 20 companies participating in the legislatively authorized post-performance program. Combined, the companies that received the incentive were projected to create 9,643 high-paying jobs across various sectors, generate $306,196,993 in new state revenue, and fund $602,963,462 in Utah capital investment during the next 15 years. In a nutshell, Utah’s economy was riding high with low unemployment and favorable economic indicators at nearly every turn. Then COVID-19 spread across the globe, reaching Utah in March, the same month the World Health Organization declared it a pandemic. The coronavirus pandemic arrived like a road closed sign to the world. In reaction to the quickly spreading virus, Utah’s governor took a measured approach to closing enterprises and activities to protect public health. Utah’s government, education, and civic leaders gathered and assembled the nation’s first statewide strategic plan to address the pandemic, the Utah Leads Together plan. While not immune to the pandemic’s impacts, Utah weathered the 2020 storm as well as just about any other state. Like the rest of the country, unemployment spiked in the spring and slowly recovered over time. By the end
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of the year, Utah’s leading economic indicators again positioned the state ahead of most other states and very favorably compared to the country. In December 2020, U.S. unemployment was at 6.7%, while Utah experienced just 3.6% unemployment. It’s difficult to comprehend that a tiny, unseen virus can have such an enormous impact on health and activities worldwide. But, that’s the position we all found ourselves in during 2020. In response to the coronavirus pandemic, Congress passed the largest stimulus bill in its history, nearly $2 trillion, known as the CARES Act. It provided much-needed relief to Americans and states. Utah received $1.25 billion from the federal government to address the pandemic’s impacts in the state.
