Dentist Visits Can Be Litmus Tests For When Consumers Feel Confident About Reopening
The dental industry has weathered an exaggerated version of the pandemic’s economic impact, but its rebound could be an early indicator about the state of the recovery. Other news on the economic toll of the virus focuses on the next stimulus package, a potential second round of shutdowns, eviction worries and more.
The New York Times:
How’s The Economy Doing? Watch The Dentists
If not for coronavirus, you’d expect your local dentist office to be doing just fine. Dentist offices tend to be stable businesses that stick around for decades, unlike restaurants that open and close frequently. Dentists earn a healthy salary — a median of $159,000 — and offer services with no clear substitute. If you need your teeth cleaned or a cavity filled, the dentist is the only option. This makes them, in the eyes of some economists, the perfect barometer for gauging the country’s recovery from the shock of the pandemic. (Kliff, 6/10)
ABC News:
Lawmakers From Both Sides Of The Aisle Frustrated Over Coronavirus Relief Fraud
Lawmakers on both sides of the aisle were frustrated in their attempts Tuesday to learn specifically how a potential fourth phase of coronavirus relief could be protected from fraud. At Tuesday’s Senate Judiciary Committee hearing, Chairman Lindsey Graham, a Republican, and Ranking Member Dianne Feinstein, a Democrat, both appeared unsatisfied with Justice Department and law enforcement officials who said it was too soon to discuss specific details of their ongoing investigations. (Owen, 6/9)
The Wall Street Journal:
Hassett Sees Another Stimulus Bill From Congress Before August Recess
A top economic adviser to President Trump said the White House “would definitely support” another round of aid to shore up the economy as U.S. businesses begin to reopen amid the coronavirus pandemic. White House economic adviser Kevin Hassett said Tuesday the odds of a “Phase Four” stimulus package “are very, very high,” even if data on output and jobs continue to surpass expectations. On Friday, the Labor Department reported that U.S. employers added 2.5 million jobs in May and that the unemployment rate, which economists had expected to soar to 19.5%, instead fell to 13.3%. (Kiernan, 6/9)
Reuters:
With Crisis Response In Place, Fed Looks To Long Term
The Federal Reserve completes its latest policy meeting on Wednesday with attention turning from its massive response to the coronavirus pandemic and toward its still-developing plans to strengthen and lengthen a nascent economic recovery. (Schneider, 6/10)
The Wall Street Journal:
Fed Debates How To Set Policy For The Post-Pandemic Economy
Federal Reserve officials could take preliminary steps Wednesday to clarify how they will provide more support to the economy now that interest rates are pinned near zero. The Fed is unlikely to announce major policy changes after its policy meeting Wednesday but will explain its thinking through Chairman Jerome Powell’s news conference and its new economic projections. (Timiraos, 6/10)
Politico:
Social Distancing Will Suppress Recovery Despite Emergency Aid, CBO Chief Says
Congress mounted a $3 trillion response to the pandemic but any boost in economic activity will be “tempered” as long as some social distancing continues, the director of the Congressional Budget Office said Tuesday. CBO Director Phillip Swagel also said in a letter to House Speaker Nancy Pelosi that additional emergency aid for state and local governments would increase the federal deficit, but help reduce the size of tax hikes and budget cuts that governors and local officials will be forced to consider. (Emma, 6/9)
The Wall Street Journal:
Second Pandemic Wave Would Inflict Big Economic Cost, Says OECD
A second wave of lockdowns to counter a resurgent novel coronavirus would deal a terrible blow to a global economy already facing a severe contraction, the Organization for Economic Cooperation and Development said Wednesday. In its latest report on the global outlook, the Paris-based research body released one of the gloomiest forecasts for growth yet published by an international financial institution. The OECD said it expected the global economy to contract by 6% this year if a second wave of infections and containment measures can be avoided. (Hannon, 6/10)
USA Today:
Coronavirus: Eviction Worries Mount As Moratoriums Lifted
When the spread of coronavirus shut down Elizabeth Anderson's bed-and-breakfast cleaning business in March, she lost her income and was unable to pay the rent on her house. That landed Anderson among thousands of Americans staring at the abyss of homelessness as states begin to lift moratoriums on evictions that have been in place since the start of the pandemic three months ago. So far, 24 states are now processing evictions again, and that number is expected to climb to at least 30 states by the end of June. (Braga, 6/10)
The Wall Street Journal:
Shoppers Surprise Retailers By Returning To Stores
Shoppers are returning to reopened stores faster than expected, according to retail executives. Macy’s Inc. Chief Executive Jeff Gennette said sales at reopened stores are down by about half compared with before the pandemic, which is better than the 85% decline the company had predicted. At Kohl’s Corp., stores are doing about three-quarters of their pre-pandemic sales volume, up from about two-thirds in late May, Chief Executive Michelle Gass said. (Kapner, 6/9)
