These firms were also less likely to train their employees throughout the COVID-19 outbreak. According to a recent survey, these are called 'sleepwalking firms', and are also more likely to pay lower wages and to create lower employment. In the United States, 20% of jobs were found within firms that have not digitally transformed. 64% of firms that had previously implemented advanced digital technology also increased their investment in digitalisation. In the United States, 48% of enterprises that were non-digital before to the pandemic began investing in digital technologies. economy has not completely recovered from the COVID-19 pandemic.Ī growing digital gap emerged in the United States following the pandemic, despite non-digital enterprises being more dynamic than in the European Union. As of 2022, the unemployment rate has reached its pre-pandemic levels - nevertheless, in many key aspects and industries, the U.S. Recovery from the recession began relatively quickly, with the recession only lasting one quarter according to the NBER.

In late 2021, inflation began to increase to levels not seen since the 1980s. The Federal Reserve reduced the federal funds rate target to nearly zero and introduced several liquidity facilities to keep financial markets functioning and to provide stimulus. Congress passed several pieces of legislation, such as the American Rescue Plan Act of 2021 to provide stimulus to mitigate the effect of workplace closures and income losses. Many businesses and offices transitioned to remote work to avoid the spread of COVID-19 at the office. Consumer and retail activity contracted, with many businesses (especially restaurants) closing. Millions of workers were dislocated from their jobs, leading to multiple weeks of record shattering numbers of unemployment insurance applications. Real GDP contracted in 2020 by 3.5%, the first contraction since the 2008 Financial Crisis. The impacts can be attributed not just to government intervention to contain the virus (including at the Federal and State level), but also to consumer and business behavior to reduce exposure to and spread of the virus. The economic impact of the COVID-19 pandemic in the United States has been widely disruptive, adversely affecting travel, financial markets, employment, shipping, and other industries.

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