Pennsylvania's Small Businesses: A Mixed Bag Before Election

Pennsylvania, a crucial swing state in the upcoming election, is seeing mixed results for its small businesses. Economic growth is happening, but prices are also going up. Real GDP in the state rose by 2. 5% this year, which is on par with national averages. However, prices in the Philadelphia area have jumped by 21. 7% since the pre-Covid days, making it harder for both consumers and small businesses. Small businesses with fewer than nine employees saw a slight decrease in revenue in September. Employment also dipped, though Pennsylvania fared better than the national average. Weekly hours worked decreased slightly over the past year, but Philadelphia saw an increase. Job postings on Indeed are down by 16%, and unemployment has risen by 4% compared to last year.

Wages in Pennsylvania are a concern. The average hourly wage is $31. 63, which is below the national average. Wage growth has been slow, not keeping up with inflation. Personal income in the state is up by about 4. 4%, but consumer spending has dropped and is expected to rebound slowly. The business environment in Pennsylvania is average. The state ranks in the middle among all 50 states for business competitiveness. The tax environment is one of the worst in the country. Small business owners are dealing with uncertainty. They are worried about the expiring Tax Cuts and Jobs Act, new employment regulations, and high interest rates. While they understand the risks and potential rewards of uncertainty, the upcoming election might not change much for their businesses.

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