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Connecticut summer businesses set for growth, as experts predict a strong season

Beluga whale exhibit at Mystic Aquarium - File
John Greim
/
Getty Images
Seasonal businesses may see a boost this year as the pandemic eases and inflation pushes residents to opt for destinations closer to home, such as Mystic Aquarium.

Experts forecast that summer businesses in Connecticut should continue to see growth this year.

Seasonal businesses can be a challenge in the tourism industry. However, summer businesses actually thrive in Connecticut, said Ken Goroshko, an executive-in-residence at the University of Hartford’s department of economics, finance and insurance.

Goroshko has over 35 years of experience in the corporate world, prior to his teaching days. He said the state’s tourism spending is significant, generating roughly $9.3 billion and employing over 125,000 people.

“We have a state that’s very, very rich in terms of tourism diversity options,” Goroshko said.

Connecticut offers a variety of beaches — places that optimize on seasonal summer business, he said.

“The level of diversity of the tourism options in the state of Connecticut is immense, and that’s one of our strengths here,” Goroshko said.

Connecticut’s marinas also make a big impact on tourist attraction, said Fred Carstensen, professor of finance and economics and the director of UConn’s Center for Economic Analysis.

Carstensen said Connecticut attracts many people who fish during summer due to its more plentiful freshwater fish population, such as trout, compared with surrounding areas.

In a survey conducted at some state marinas last year, Carstensen found that many people who fish make the day trip from Rhode Island or Massachusetts. There are more than 865 ports in Connecticut. However, he acknowledged that New York has a more favorable tax environment for boats, unlike Connecticut.

The trajectory for this season “looks good,” and Carstensen expects strong growth in Connecticut this summer after years of being at a plateau.

Like last season, many businesses are scrambling for employees right now, Goroshko said.

“Labor supply is limited, and as a result, it causes wages to go up because of the degree of demand, which is significant, versus the limited supply,” he said.

Connecticut typically competes against other surrounding summer businesses in Rhode Island, Massachusetts, New York and even New Jersey.

But Goroshko said inflation may actually be a positive pressure for Connecticut summer businesses.

“You’re seeing a lot more people reassess local opportunities,” Goroshko said.

Another source of optimism? The continued decline of COVID-19 cases and people returning to pre-pandemic activities.

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SOMOS CONNECTICUT es una iniciativa de Connecticut Public, la emisora local de NPR y PBS del estado, que busca elevar nuestras historias latinas y expandir programación que alza y informa nuestras comunidades latinas locales. Visita CTPublic.org/latino para más reportajes y recursos. Para noticias, suscríbase a nuestro boletín informativo en ctpublic.org/newsletters.

Federal funding is gone.

Congress has eliminated all funding for public media.

That means $2.1 million per year that Connecticut Public relied on to deliver you news, information, and entertainment programs you enjoyed is gone.

The future of public media is in your hands.

All donations are appreciated, but we ask in this moment you consider starting a monthly gift as a Sustainer to help replace what’s been lost.

Connecticut Public’s journalism is made possible, in part by funding from Jeffrey Hoffman and Robert Jaeger.