Can China Beat Us Economy During Coronavirus Pandemic

All we know Coronavirus started spreading from China. The news has been gloomy with deaths, following quarantines and the economy’s seeming to flatline, though the number of new cases has begun to drop.

Economy During Coronavirus Pandemic
After Virus reaches to the USA, the economy gets affected. On the contrary, a broad explosion of the disease in them could be even more critical for their economies than in China. That is because face-to-face service industries, the kind of businesses that go of control when people start to fear and withdraw from one another — tend to control economies in high-income countries more than they do in China. If people stay home from school, stop traveling and sporting events, the gym, or the dentist, the economic value would be worse.
Economy During Coronavirus Pandemic
A large share of U.S. workers require paid sick days and millions require health care coverage, so people may be less likely to stay home or to get proper medical care. And 41% of China’s population lives outside urban areas, more than twice the share in the U.S. Diseases generally spread faster in urban areas.
Beyond those issues, however, is a fundamental difference in economic structure: If people don’t interact with others because of their fear of disease, the things they stop doing will frequently affect much bigger industries in the U.S.
If we consider travel. The average American takes three flights a year; the average Chinese person less than half a flight. And the epidemiological disaster of the Diamond Princess has persuaded many people to hold off on cruises. That cruise ship stigma alone potentially affects about 3.5% of the U.S., which has about 11.5 million passengers each year, compared with only 0.17% of China, which has about 2.3 million passengers.
People stop attending U.S. sporting events. In the US every year people spend a big amount on sports events. Sports is a huge business in the U.S. People spend a higher of 10 times as much on sporting events as they do in China.

And if the Americans stop spending $19 billion a year on gyms, that would be a much a bigger deal than if the 6.6 million gym members in China stopped spending the $6 billion they devote to gyms now.

Of course, not every service sector is so much larger than in China. Retail and restaurants, for example, have equivalent shares of gross domestic product in both countries.

But overall, the U.S. is substantially more developed on services than China is. And, on the other side, agriculture, a sector not noted for day-to-day social communication and so may be less harmed by social withdrawal, is a 10 times larger share of China’s economy than it is in the U.S.

As we see coronavirus outbreak also set an impact on the supply chain, Now people are following lockdown in the country.
A major coronavirus epidemic in the U.S. might be like a big snowstorm that close down most economic activity and social interaction only until the snow is cleared away.

Right now at this time China overcomes the situation and has 0 cases of coronavirus. And the other side U.S. has 2,77,000 cases in which 12,000 patients are recovered and 7,000 are dead.

Economy During Coronavirus Pandemic


China has opened all the services again and started their businesses. China providing health kits to other countries and generating large profits. In the USA most of the cities are lockdown and all the businesses are hunting down. And on the other hand, the USA needs more health kits and space for its citizens that are now infected.
The USA spends lots of money to control this pandemic, but all we know the USA always has plan B, which helps their economy to be stable.
So, the conclusion is the situation is against the USA but they will recover their losses very fast.
Leave a Reply

Your email address will not be published.

You May Also Like