A potential recession could hit San Francisco’s tech-centered economy hard.
Though the city’s record low unemployment figure of 1.9% in May is ‘a pretty clear sign that we’re not in a recession at the moment,’ there are potential risks, said Ted Egan, San Francisco’s chief economist.
Egan sees the Federal Reserve’s plan to raise interest rates as the likeliest trigger for a recession.
‘Tech is probably the sector of the economy that’s more sensitive to interest rates,’ Egan said. ‘That places us at greater risk.