22 states are in a recession or on the brink: Moody’s
By Alicia Nieves and Sean Noone
Around 22 states are either in a recession or on the verge of a downturn, according to a new analysis from Moody’s Analytics.
Mark Zandi, chief economist at Moody’s Analytics, said the state’s problems stem from a mix of slowed-down immigration, increasing tariffs and federal job cuts.
According to Zandi, the following states are in a recession:
Wyoming, Montana, Minnesota, Mississippi, Kansas, Massachusetts, Washington, Georgia, New Hampshire, Maryland, Rhode Island, Illinois, Delaware, Virginia, Oregon, Connecticut, South Dakota, New Jersey, Maine, Iowa, West Virginia and Washington, D.C.
It’s more sobering news for the economy, as last week U.S. hiring plans fell to their lowest level since 2009.
Employers have announced plans to add about 205,000 jobs through the first nine months of the year — down 58 percent from the same point in 2024 and the lowest tally since 2009.
Economist Michael Szanto told The Hill’s sister network NewsNation that he believes the downturn can be blamed on President Trump’s sweeping tariffs.
“We’re in a challenging situation,” he said. “There’s a little bit of a lag in the pain and problems caused by the tariffs.”
Szanto added, “We have the highest tariff rate regime in over half a century that is going to prove a very tough challenge for the American consumer and for the economy overall.”