Peach Tree Times

A professor says Georgia is emerging from the economic downturn caused by the COVID-19 pandemic in excellent shape because of smart decisions made in a very challenging time.

Jeffrey Dorfman, a University of Georgia professor of agriculture and applied economics, credits the Georgia business community, Gov. Brian Kemp and other state leaders for the impressive performance.

On June 30, Kemp signed two executive orders to continue Georgia's economic recovery from the pandemic while extending some state rule suspensions.

“Effective midnight tonight, the public health state of emergency in response to the COVID-19 pandemic will end in the state of Georgia,” he said in a statement. “From the beginning of our fight against this deadly enemy, my office has worked alongside countless hardworking Georgians in the public and private sector to implement a measured approach to protecting both lives and livelihoods. The public health state of emergency was absolutely vital to those efforts, and I thank the Georgia General Assembly for the trust they placed in my office last spring.

“With coronavirus cases, hospitalizations, and deaths at all-time lows — and vaccinations on the rise — Georgians are getting back to normal,” Kemp said. “These new executive orders will enable the state to make that transition as easy as possible for our healthcare infrastructure, our job creators and the supply chains they rely on, and Georgians getting back in the workforce. The people of our state have shown their resilience over the last 16 months, and I am truly grateful to them for the sacrifices they made each and every day to protect themselves, their loved ones, and their fellow Georgians." 

According to a recent survey by the United States Census Bureau, Georgia's small businesses fared better than those in most other states. Only 22.2% of state small businesses reported experiencing a “large negative effect” due to the COVID-19 crisis. Nationally, 25.2% of small businesses reported a “large negative effect”.

The Census Bureau conducted its Small Business Pulse Survey the week of June 28 to July 4, and measured the changing business conditions due to the pandemic by collecting information on small business operations and finances, requests and receipt of assistance, vaccines, capital expenditures and their expectations for recovery.

“I would say that Georgia businesses performed so well due to a combination of ingenuity of and hard work by our business owners and good policymaking by Gov. Kemp,” Dorfman told Peach Tree Times.

“Being the first state to reopen, but balancing that with smart public health standards businesses had to meet to open allowed us to get the economy going again early and safely,” he said. “Gov. Kemp has also used federal aid dollars to replenish the unemployment trust fund, avoiding tax increases on small businesses that might have discouraged hiring.”

The state reported good news from all fronts.

“From the start of the fiscal year on July 1 through March 31, more than 24,000 jobs have been created across all regions of the state by economic development projects,” a state website reported. “These projects mean nearly $8.43 billion in new investments.”

Georgia had fewer COVID-related restrictions than most other states, according to a WalletHub report conducted by top U.S. research universities.

Private companies also reported good news despite the pandemic. Nearly a quarter of Georgia businesses said the COVID-19 crisis had little to no effect on their business, higher than the national average.

Georgia businesses’ expectations for the future were also more optimistic than the national average, with almost half of businesses reporting that they have either returned to a normal level of operations, or there was little to no effect on operations in the first place.

The amount of businesses saying that it will take more than six months to return to normal levels of operation was about 5% below the national average.

Dorfman said he expects to see the state’s economic engine running at full steam this year, adding, “We will continue to advance policies that create a positive business climate so that business owners have the ability and incentive to hire people who want jobs, allowing Georgia to complete a full economic recovery likely by sometime in 2022.”