Armstrong Economics Blog/New Norm Re-Posted Nov 24, 2020 by Martin Armstrong
The old saying, I love NY, has turned into – Get Out of NY While You Can! The Number of people leaving NYC is alarming. Anyone who has pretty much seen their jobs vanish or no longer have to go to the office is leaving. I got a call from an Investment Banker I know who works at one of the top banks in NYC asking me if I wanted to have dinner. I said sure. I thought they were in town just to get away from NYC. To my shock, they moved to Florida because they no longer make the commute to the office.
The side-effect of this lockdown in New York City will devastate their tax revenue. If only 8% of the people have returned to their offices and the “new norm” is to be working remotely, then they no longer need to work in New York City.