COVID-19 took a toll on Alabama’s economy, but the state could be on a “normal path of recovery” by the first part of next year, according to two University of Alabama economists.
An analysis of the state’s economic health predicts Alabama’s economy will see a 3.4% drop in 2020, after seeing gains of 2.4% and 2.8% over the last two years.
Samuel Addy, associate dean for economic development outreach and senior research economist, and Ahmad Ijaz, director of economic forecasting, are both with the University’s Culverhouse School of Business. The two have just released their October Economic Outlook Update, which looks at the effect the pandemic has had on the state.
According to the analysis, Alabama’s economy declined by 29.6 percent in the second quarter