December 15, 2020
PUBLIC FINANCE > Budget > FY 2022

State economy expected to improve in FY22

ax revenue to grow, but timing depends on vaccine, federal aid

Shira Schoenberg ,

Commonwealth Magazine

Eileen McAnneny, president of the Massachusetts Taxpayers Foundation, said unemployment levels are not expected to return to pre-pandemic levels until 2024. McAnneny noted that the pandemic has also pushed people out of the labor force, with 228,000 people having left the labor force entirely since March – which means they are neither working nor looking for work. There are also questions about the long-term impact of the pandemic – for example, if businesses permanently curtail business travel, hotels that rely on business travel will not recover.