After years of concern about a possible recession, New Jersey may now be experiencing an economic downturn. Mark Zandi, Chief Economist at Moody’s Analytics, told MarketWatch that New Jersey is in a recession. According to Zandi, the state joins 21 other states and Washington, D.C., in facing an economic slowdown and ongoing job losses.
However, some experts urge caution before making definitive statements about the state’s economy. Marc Pfeiffer, Faculty Researcher at the Bloustein Local Government Center for Urban Policy Research at the Edward J. Bloustein School of Planning and Public Policy, believes it is premature to declare a recession in New Jersey.
“We may start seeing signs of a recession, but that doesn’t mean we’re in a recession. The economy is constantly flowing, changing. I don’t see us at the moment being in recession. But there clearly is potential for that,” Pfeiffer said.
Pfeiffer added that there remains a risk of a future recession and emphasized that whoever wins November’s governor’s race will need to monitor economic indicators closely. He noted that the next administration might have to act quickly to adjust the state budget and reduce spending if concerns about a recession materialize.
As of mid-September, layoffs in New Jersey had surpassed 9,700 workers.
