Mahalo for supporting Honolulu Star-Advertiser. Enjoy this free story!
During the last legislative session, there was a general sense that the large surplus in tax revenue for spending was a quirk of the pandemic. Stimulus funds, along with construction and other essential industries, did keep the economy treading water until tourism was able to restart.
But all the federal dollars that flowed into Hawaii could not last, and the economic recovery that was jump-started in 2021 has not quite recouped what it lost.
And despite a strong rebound of tourism, thanks largely to the U.S. mainland visitor count, there is now concern about the slowing pace in other key sectors. Care must be taken to manage the bumpy economic ride. It’s clear, to start with, that government would be wise to stick to leaner budgeting going forward.
State economic experts have been watching the national trends of high inflation…
