Kansas City Business Leaders Discuss 2024 Elections and Economic Strategies
As 2024 is just around the corner, the hustle and bustle in Kansas City are palpable, especially among local business leaders. They gathered recently to navigate the complex waters of what the upcoming year might bring, focusing on the pivotal 2024 presidential election, the burgeoning influence of artificial intelligence, and economic strategies to consider as we head into the new year.
The Election and Economic Policies
With less than thirty days until the general election, there’s a buzz of excitement—and a bit of uncertainty—among Kansas City’s business community. A recent panel discussion hosted by Stacie Prosser, the publisher and market president, highlighted the contrasting economic policies that Vice President Kamala Harris and former President Donald Trump may bring to the table.
One panelist, Serrano, shed light on what the future could look like under a Harris administration. He pointed out that her approach might lean towards redistributive economic policies focusing on making housing more affordable, reducing prescription drug costs, and expanding the child tax credit. However, this could also mean some headwinds like possible tax resets for households earning over $400,000 and an increased corporate tax rate.
On the flip side, Trump’s administration would likely push for lower government spending and deregulation, which Serrano suggested could result in a more inflationary mix due to potential extensions of household tax cuts and reduced corporate rates for qualifying companies. Regardless of who wins, Prenger highlighted the pent-up demand in both public and private sectors. “My clients on the commercial side are doing year-end planning with two scenarios,” he said, indicating a strong willingness to act irrespective of election outcomes.
Foreign Trade Perspectives
As for foreign trade, Harris is expected to maintain the same strategies as Biden’s administration, favoring trade relationships with geopolitical allies. In contrast, a Trump administration could adopt a more aggressive tax proposal approach to influence foreign policy.
The Role of Artificial Intelligence
Meanwhile, a wave of artificial intelligence is transforming industries across Kansas City. Retailers like Rally House, a beloved sports goods chain with 16 locations in the area, are using AI to streamline operations from inventory management to customer service. In the past few months alone, Rally House has hired more than 1,000 employees monthly, significantly ramping up its recruitment through AI tools that allow candidates to self-schedule interviews online.
Design firms are also leveraging AI, with Generator Studio using it to take care of preliminary design tasks that used to burden staff and interns. “We are just much quicker with the use of AI,” shared Kress, a designer at the firm. The technology enables them to focus on more important aspects of their work without compromising quality.
Tracking Economic Health
For those keen on measuring the economy’s health, Serrano recommended the Sahm Rule, which involves tracking the three-month average of the unemployment rate. If it rises half a percent above the previous 12-month low, it could signal a higher risk of entering a recession. Lewis, another panelist, shared that he uses five key metrics, including GDP and consumer spending, to gauge growth in his domain.
When discussing the economic outlook for Kansas City, Lewis emphasized a personal touch in his approach, asking industry colleagues if they believe business will be better or worse a year from now. “Almost to a T, everybody says it’s going to be better,” he beamed, leaving the discussion on a hopeful note.
As the year winds down, Kansas City is not just preparing for the upcoming elections but also gearing up to embrace the technological advancements and strategies that will shape the economy in 2025 and beyond. With optimism and a touch of caution, local leaders are ready to tackle whatever comes their way.
