We are living through one of the worst economic crises America has ever seen.
“It becomes the story of two economies.” – Matthew Roling, Wayne State University.
Nearly 55 million people have filed for unemployment since the coronavirus pandemic hit in March. Over 70,000 small businesses have closed forever. Aspen Institute estimates one in five tenants is at risk of being evicted by the end of the month.
With all the uncertainty and upheaval in our economy and the world at large, what kinds of decisions should we be making with our own money? What does all of this mean for our ability to plan for the future – or even just get through the day?
Listen: Wayne State University business professor Matthew Roling explains how the pandemic is affecting personal finances
Matthew Rolling is the Executive Director of Wayne State University’s Office of Business Innovation and teaches personal finance at Wayne State Business School. He says many Americans are looking for ways to make sure they have money at their disposal, instead of being tied up in assets.
“Cash is king in a way it never has been before because we really don’t know what’s coming our way,” says Roling. “We are only just beginning to measure the impact this has had over the long term. [health] of the American economy. »
He also notes that while many working-class and low-income people are particularly hard hit during the pandemic, wealthier people are taking advantage of new opportunities to earn more money.
“It becomes the story of two economies,” he says.