Examining coronavirus’ affect on Las Vegas, global economy

Local News

LAS VEGAS (KLAS) — Las Vegans were relieved after a person suspected of having coronavirus tested negative for the illness. But internationally, the number of cases and deaths continues to grow.

8 News Now looked at how it’s affecting businesses here and around the world.

Ava Mucikyan owns The Salt Room, a wellness center and spa in Summerlin. From massages to salt therapies, salt is her business.

“We import Himalayan salt lamps from Nepal, but the bulbs come from China,” Mucikyan revealed. “For a small business, margin is everything.”

Right now, it’s hard to get the bulbs. She said coronavirus-related business changes in China are impacting her bulb shipment.

“The fact that we cannot get it from our vendor in China makes us go to alternative sources here locally, and they are still imported from China, but they are selling at a lot higher rate.”

Companies such as Apple and Starbucks have changed or temporarily stopped working in China.

UNLV Professor of Economics Stephen Miller said the Chinese economy will be greatly impacted.

“They rely very heavily on exports to the developed world to the extent that people cannot go to work,” noted Miller. “That will reduce their production, and unemployment will go up.”

He said the problems there will trickle down to other parts of the world.

The Centers for Disease Control and Prevention recommend people avoid all nonessential travel to China. Miller said if less people travel to and from the U.S., that could take a toll on tourism.

“The restriction on travel that will affect us, Chinese visitors, China is about fourth on the list. Canada is No. 1,” said Miller.

As for Mucikyan, she hopes the situation changes soon.

“For us to not be able to purchase things at the rate we are used to or a rate that is profitable for us hits our margins,” she stated.

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