Coachella Valley’s economy expected to bounce back quickly over the next few years

Economists expect the valley's economy to bounce back quickly in the next few years thanks to policy reactions at the federal and local levels.

County and local leaders came together on Thursday for the 2021 Coachella Valley Virtual Business Conference and Economic Forecast. The keynote speaker was renowned economist Dr. Christopher Thornberg, the director of the UC Riverside School of Business Center for Economic Forecasting and Development and an adjunct professor at the school.

Thornberg gave a presentation showcasing the forecast for the local economy.

"The Covid pandemic has been a tragic natural disaster. Yet history suggests such natural disasters have modest long-run economic impacts. A quicker-than-normal recovery was almost certain," Thornberg writes.

Thornberg said there are certain industries that aren't expected to recovery right away, which included restaurants, transportation, and entertainment. Gasoline stations, clothing stores and food services also did poorly.

The valley's hotel industry does appear to be on the rise, as there was a 50% occupancy rate in February 2021, which was down from last this point last year, but better than in Los Angeles, San Diego, and Orange counties.

Thornberg said the valley's unemployment is expected to be below 5% by the end of the year.

You can watch the full presentation below: