The Impact of Corona virus into the Global Economic Prospects

Abstract

The crisis of Coronavirus (COVID-19) has already transformed into an economic and labour market shock, impacting not only supply (production of products and services) but also demand (consumption and investment). Disruptions to production, initially in Asia, have now spread to provide chains across the planet. All businesses, no matter size, face serious challenges, especially those within the aviation, tourism and hospitality industries, with a true threat of serious declines in revenue, insolvencies andjob losses in specific sectors. Sustaining business operations are going to be particularly difficult for little and Medium Enterprises (SMEs). Following travel bans, border closures and quarantine measures, many workers cannot move to their places of labor or perform their jobs, which has knock-on effects on incomes, particularly for casual and casually-employed workers. Consumers in many economies are unable or reluctant to get goods and services. Given the present environment of uncertainty and fear, enterprises are likely to delay investments, purchases of products and therefore the hiring of workers. Prospects for the economy and therefore the quantity and quality of employment are deteriorating rapidly. While updated forecasts vary considerably -- and largely underestimate things -- all of them point to a big negative impact on the worldwide economy, a minimum of within the half of2020.