Economic Impact
Coronavirus has brought the consumer economy to a standstill. Retail, travel, airline and ride-sharing industries are the worst affected industries. These industries contribute a significant percentage to the world’s GDP. IMF estimated
that the world GDP is expected to decrease by 3%.
The GDP chart estimates the decrease in the GDP as compared to last year. Spain, Italy, and France are expected to be worst affected by a coronavirus. When we compare countries in the emerging economies, Russia and Mexico are the worst
affected.
In sum, due to preventive measures to contain the spread of the virus, these measures have varied effects on the industries. While some industries are flourishing, others are trying to stay afloat.
As the coronavirus spread from Wuhan to other parts of the world, it sent a shockwave to all the industries. As the virus spread to other countries, each government responded in their own way to stop it by enforcing the health measures such as social distancing, lockdown, and curfew. This resulted in major operations coming to a crashing halt, except essential services. These actions had varying impact on different industries. First noticeable impact was the plummeting of the stock market around the world. Now, the market is growing at a negligible rate, and debt levels are higher in the corporate sector as compared to the economic meltdown in 2008. This time-series graph helps visualize the stock market value as the events unfolded. Major Stock markets such as NYSE, LSE, Nasdaq Sensex experienced the repercussions of the lockdown.