The Impact of Corona on the economy was the worst recession since the Great Depression of the 1930s. Many sectors of the economy will not return to normal. Especially developing countries are unable to provide financial and monetary assistance on a seal where the cost to the economic benefits. However, most of the poor and developing countries take early actions against Corona and goes for lockdowns. It will affect their future economy but not in greater terms as Corona can do.
Even countries are not locked up in the process of handling the pandemic the economy is falling down in the same size. The economy after the Corona depends on how successful the citizen thinks his government is in manipulating the economy in the pandemic. For example the United Kingdom not locked-down in the early phase of the pandemic. But when the outbreak goes out of control they were gone through several lockdowns. It happens because health issues in economic costs remain relatively high.
Will global economic powerhouses changed after Corona?
In the previous serious economic crisis after the world war, the United States played a central role in stabilizing the world economy. But now they take a decision to stay away from the World Health Organization. They were the main fund releaser for WHO. It’s a sign that everyone else responds to coordinate medically, scientifically, and economically.
Will China now have the opportunity to defeat the USA and become the world economic power?
The United States is now the dominant currency, the dollar. China’s currency always not shows a predominance as a global currency. But in the last few years, China’s priority has accelerated. It has led to growing tensions between the United States and China. Now the United States has increased the use of sanctions as a financial weapon.
China is developing its own market. But it becomes top only when China gets enough power to challenge the dollar. It last happened when the dollar took over the pound in the 20th century. It was a bit of a slow process. But the pound is still a very important global currency. So, it doesn’t happen quickly. However, China is ahead of the West in digital financing, especially in the developing economy.
How Corona affects the economy?
The medical implications of the pandemic were enormous. It will take a long time for the effects of the tourism industry to recover. The state industries in exports, the industries in which people have to work, have more struggles than others.
There will be a difficult period for countries that do not have the ability to provide medical needs of citizens, especially for developing countries that depend on the tourism industry and exporting natural resources.
What will happen to the job market?
The unemployment rate remains slightly higher after corona. People who find it difficult to acquire skills will have long-term consequences. Researchers estimate that 1/3 of graduates have had their graduation delayed or withdrawn. So there are immediate effects after Corona. The labor market will fall as people begin to chase job ghosts after the pandemic. After the defeat of Corona, the computer program and the digital market will rise.