The Economic Pulse of Greater Williamsburg: A Closer Look

Economists and business leaders recently gathered to discuss the economic outlook for Greater Williamsburg. The conversation covered a range of topics, including the job market, housing trends, and the tourism industry. Inflation has been a major concern, with recent data showing a rise in prices. This trend is partly due to tariffs on imported goods, which have made many items more expensive. Experts are unsure if this increase in prices will be temporary or if it will continue to rise. The housing market is also facing challenges. Many homeowners are hesitant to sell their homes because they have low interest rates on their mortgages. This has led to a surplus of homes on the market, which could drive down prices in the coming years. In Virginia, the situation is better than the national average, but rising property taxes and insurance costs are adding to the problem. The job market is another area of concern. Nationally, there are fewer jobs available than there were six months ago. Unemployment is expected to rise to 4. 7% by early 2026. While Virginia is doing better than the rest of the country, the slower hiring rate means that finding a new job could be difficult for many people. Tourism, a key industry in the Historic Triangle, has seen a slight decline in spending. Visitors spent $35 billion in Virginia in 2024, with $1. 35 billion spent locally. This is a decrease from the previous year, as inflation has made travel more expensive for many people. However, there is hope for a rebound in tourism next year, with several major events planned, including celebrations for America’s 250th birthday and Colonial Williamsburg’s 100th anniversary. Artificial intelligence (AI) is also changing the landscape of education and the workforce. While AI has become a part of everyday life, it poses challenges, especially in higher education. Many students are using AI tools extensively, which can hinder the development of basic skills. This puts additional pressure on educators to prepare students for a rapidly changing job market.