Black Hills leverages explained, for fear of recession looms
RAPID CITY, S.D. (KEVN) - Announced earlier last week, year-over-year inflation in June reached 9.1%, and you’ve probably noticed your wallet shrinks faster than it used to; but the Black Hills area could be shielded from the most extreme effects of a rocky economy.
Talks of a recession have been muttered throughout national media since the beginning of the COVID pandemic and as we are seeing increased inflation and interest rate hikes the fear is taken more seriously.
Tom Johnson, CEO/President for Elevate Rapid City says:
But Johnson says that one of the things helping the Black Hills region is the area has not grown at an extremely fast rate.
“I think if we have another recession; I think we’ll still have something happen, but we won’t have nearly the negative consequences. And that’s always sort of been the case, Rapid City never goes too fast this direction, and it never goes too far in the other direction, it’s kind of been steady wins the race,” explained Johnson.
And since Rapid City is a far distance from the next city our sectors have to be reliable. “So healthcare, shopping, a lot of these things we have to almost have to have a self-contained ecosystem, because we don’t have time to drive to Minneapolis, eight hours away for healthcare. So we have to have some of that stuff here,” said the CEO/President of Elevate Rapid City.
Johnson said right now it’s like a fine thread going through the eye of a needle for the feds. They have to increase the interest rate to lower inflation, but not too much to cause people to stop spending money.
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