The Impact Of COVID-19 On Global Economy
The outbreak of COVID-19 is a human tragedy in itself and it does have some serious impacts on the global economy. A detailed analysis of the United Nations Department of Economic and Social Affairs stated that the coronavirus pandemic is creating a big discomfort in the global supply chains and all types of national and international trade. With almost more than a hundred countries sealing their international boundaries in the past few months, the free movement of goods and tourism has come to a complete pause.
The global economy is on the verge of depreciation by almost 1% by the end of this year, just the reverse of the previous forecast of 2.5% growth. The UN higher officials warned that the condition might even deteriorate if the restrictions and sanctions that are imposed on the economic activities are increased without any proper fiscal response.
The possible futures of all the countries worldwide are completely dependent on their respective governments and societies and their response to the economic aftermath.
A huge number of workers from all countries are facing a very difficult phase of their life with the bleak prospect of losing their respective sources of income. Their governments are doing a commendable job by donating stimulus packages to avert the big downturn of their parsimony, which can be the cause of a deep recession of the global economy. The DESA commented that in the worst case the global economy might go down by 0.9 percent in the current year in comparison to the 1.7 percent contraction of the financial crisis of 2009. The only messiah to this crisis can be a strong and powerful government and their wish to support and help in the spending of the consumers.
The DESA’s World Economic Forecasting Model has given some predictions on the worst- and best-case scenarios considering the fast-changing economies.
Taking the worst-case scenario into account, the global economy might go down by a humongous 0.9 percent instead of the projected growth rate of 2.5 percent. Countries such as China, the US, Japan, India, South Korea, and the EU would be getting the biggest shock of a very high magnitude. There can even be a decline in the world crude oil price by almost about 50% against the base price of USD 60 per barrel.
Taking into regard the best-case scenario, with severe declines in the private investments, exports, consumption, and the offsetting it might increase in the expenditure of the government of almost all the G-7 countries. The global growth of China might go into a deep recession by 1.2 percent this year.
All these projections mainly depend on the three most important factors:
- The activities and expenditure of major countries worldwide.
- The total time duration of the imposed restrictions on the people.
- The efficiency of the governments of different countries taking into account the actual crisis size.
Well, these situations are yet to come very shortly soon, and we don’t have many options left. The only viable way to evade from this crisis is to eliminate the pandemic as soon as we can. For that, we as a nation need to join our hands with other countries who are facing severe times along with increasing our medical facilities. Remember, healthcare and medical staffs are our frontline soldiers who are fighting this war against the unknown.
With an already existing shortage of nurses and the inadequate supplies of medical equipment, the nation might face some severe damage to recover from this COVID-19 pandemic along with the economic crisis. Centers for Disease Control and Prevention or the CDC has published many great ideas to overcome the shortage of nurses and medical staff and has instructed all the Higher Education Institutes and the nursing or medical schools to respond and prepare well to give a tough fight to the COVID-19 virus. Erudite online nursing school has followed all the guidelines of CDC, by offering different types of online accelerated nursing programs and a highly specific course on response training and emergency preparedness to win the fight against the unknown pandemic destroying humans.
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