Monday’s total solar eclipse drew millions of visitors to states along the narrow “path of totality” that stretched in a northeasterly arc from south Texas to the northern tip of Maine and the umbraphiles who traveled for optimum viewing opportunities spent big everywhere they went.
Riffing off an eclipse spending analysis by Indiana University Bloomington economics professor Philip Powell, a report by Investopedia suggested the event’s fiscal impact was akin to every city in the totality zone hosting a Taylor Swift concert.
“Multiply the impact of a typical big concert or sporting event by 10 to understand the potential economic impact,” Powell said in a podcast hosted by the American Association of Colleges and Universities. “A hard-to-repeat influx of visitors from far away is an important marketing opportunity for any region.”
While the dozen states squarely in the sweet spot are still tallying event-related revenues, a detailed economic forecast from The Perryman Group noted the latest total solar eclipse drove wider interest than the last one in 2017, thanks to its longer duration and wider prime viewing pathway.
And Perryman economists estimate the total haul from direct eclipse-related spending on top of downstream impacts is in the billions of dollars.
“The United States is likely to see an increase in direct expenditures by visitors of almost $1.6 billion,” Perryman analysts wrote in their report. “When the downstream/multiplier effects through the economy are considered, expected economic impacts rise to $6 billion, with a gain of $3 billion in gross product and $1.8 billion in personal income flowing to U.S. residents.”
In a state-by-state breakdown provided in the report, Texas was a runaway leader when it came to estimated economic impacts, with a whopping $1.4 billion in direct and indirect eclipse-related spending.
The Lone Star state’s enormous potential haul had a lot to do with its perfect placement for prime eclipse viewing.
Texas had the biggest single metro area in the path of totality, Dallas-Fort Worth, as well as Austin and San Antonio that, combined, accounted for 13 million residents who didn’t have to go anywhere to view the eclipse. Bulent Temel, assistant professor of practice and economics at the University of Texas at San Antonio, told the Texas Standard ahead of the event that a million or more eclipse watchers could be traveling to Texas and the total economic impacts could make it the most profitable event to ever happen in the state.
“It is amazing how much this has captured the imagination,” Perryman Group CEO Ray Perryman told CBS MoneyWatch.
Rounding out the top five states with highest estimated eclipse revenue windfalls, according to the Perryman analysis, are New York, $732 million; Indiana, $551 million; Ohio, $523 million; and Pennsylvania, $367 million.
While a sense of urgency may have also contributed to more widespread interest in Monday’s total solar eclipse — the next one isn’t until 2044 for viewers in the continental U.S. — economists note the states that reaped one-time rewards thanks to their geography could also see longer-term economic benefits.
Powell said states in the totality path had an opportunity to sow seeds of future interest and economic engagement from eclipse event visitors.
“With careful planning, regions can convert big events like a solar eclipse into big economic gain,” Powell said. “Hospitality businesses need to be ready to operate at full capacity, and the regions needs to be ready to convince outsiders that their city or state is a spectacular place to live and do business.”
