"We're Not Going Back," Says Fed Chair: What Investors Should Know About an Economy Forever Changed
In November, Federal Reserve chairman Jerome Powell made a troubling assertion about the global COVID-19 pandemic and its long-term consequences. "We're not going back to the same economy," Powell said to a San Francisco-based economic development group, "we're going back to a different economy."
While the timeline for economic recovery is unclear, the Fed chair believes that the business world will be vastly different when things finally return to normal. The shakeup has ramifications for the industries that are likely to dominate business moving forward, and investors would be wise to consider these forces when putting together long-term stock portfolios.
Businesses and consumers quickly changed their behaviors at the onset of coronavirus restrictions, and many of these adjustments simply hastened the shifts that were already occurring. Technology improvements have enabled remote work, e-commerce, and automation to grow in popularity in response to the demand for convenience and cost savings.
Source Fool.com
