Growing up in Elkhart, Indiana, during the Great Recession provided firsthand experience of the devastating effects of a struggling economy. Known as the “RV Capital of the World,” Elkhart saw its jobless rate peak at nearly 20 percent in March 2009, affecting families across all income levels.

By 2018, however, Elkhart had made a remarkable recovery, earning the nickname “Jobsville, USA” in the Wall Street Journal for its economic growth. Despite its history of boom-and-bust cycles common in Rust Belt communities, the unemployment rate dropped to just over 2 percent.

Economists often point to Elkhart’s economic health as a barometer for the national economy. Recent data showed the unemployment rate at 4 percent in December 2024, a significant improvement from earlier in the year. The job market, particularly in the RV industry, remains robust with over 200 open positions.

Local residents like entrepreneur George Anagnos, who weathered the 2009 recession by opening a restaurant, remain optimistic about Elkhart’s economy despite concerns about tariffs. The uncertainty caused by the Trump administration’s tariff policies is not a cause for alarm, as long-term benefits of freer trade are expected.

While critics fear that tariffs could lead to price hikes, historical examples suggest otherwise. Previous tariff implementations did not significantly raise consumer prices across the board. Trump’s 2018 tariffs on various goods demonstrated some increased costs for consumers, but the overall impact on the economy was limited.

To mitigate potential challenges from reciprocal tariffs, the Trump administration could focus on pro-growth policies that benefit American workers. By lifting restrictions on freelancing and self-employment and making tax cuts permanent, the administration aims to increase earnings and support economic expansion.

The success of Elkhart’s economic diversification post-recession serves as a testament to the resilience of small businesses. With 5,028 establishments operating in Elkhart County, the majority being small businesses, the local economy continues to thrive.

Chloe Anagnos, a visiting fellow at Independent Women, explores these economic principles through the lens of Elkhart, Indiana’s success story.