Compared with other infectious-disease outbreaks such as the 2003 SARS epidemic and the 2015 Ebola epidemic, COVID-19 is having an unprecedented impact on global economies. To slow the rate of infection and save lives, governments worldwide have been forced to impose lockdowns and enforce strict social distancing measures.
The policies necessary to contain the virus have triggered a downturn as people stay home, businesses close, and economic activity slows. Until there is more clarity around how quickly and thoroughly COVID-19 can be contained, it is nearly impossible for anyone to predict how the pandemic will play out. What is clear however, is that the current situation is no longer just a “market correction”, but a prolonged slowdown that could stretch on for some time to come.
Where we might be headingInstrumental to the recovery are the actions now being taken by central banks and governments to shield their economies.
...