Trump Vs Doctors: 158 Million Americans Told To Stay Home (In Mr. Trump’s America).Coronavirus Lockdown Threatens 10 Million People To Be Jobless
The US economy seems to be heading towards a massive depression with millions facing unemployment and businesses in a sharp decline (almost finished). Let us examine the threat of covid-19 on US economy and what happens if Trump fails:
Head Up — Coronavirus Latest News From U.S.
158 Million Americans Told to Stay Home, but President Donald Trump Pledges to Keep It Short.
The White House warned of an alarming spread in New York City, but the President said “our country wasn’t built to be shut down.”
President Donald Trump hints at a short shutdown: “I am not looking at months.”
President Donald Trump, in a nearly two-hour coronavirus briefing, hinted on Monday that the economic shutdown meant to halt the spread of the coronavirus across the country would not be extended. The President added, without providing a timeline for when he believes normal economic activity could resume.
If it were up to the doctors, they’d say let’s shut down the entire world — President Donald Trump said.
Our country wasn’t built to be shut down— he said. America will again and soon be open for business.
President Trump seems to be sentding confusing signals from the White House, agreeing at one point with his surgeon general and saying: It’s going to be bad — then in the same breath suggesting that the response to the virus may have been overblown.
Covid-19 threat to Trump and US economy is looming large. The businesses are shut, the travel and hospitality industry have no one to cater to, the unemployment figures are at all time high and the local population is practicing social isolation. Economists are also painting a gloomy picture with Oxford Economics predicting —
US economy to shrink at a rate of 12% between April and June, and Goldman Sachs predicting a 24% fall.
This could create a much bigger problem than the problem that you started out with.
Covid-19 threat on US economy:
10 million people could lose jobs
While many economists disagree with these estimated unemployment numbers — but no bosy is denying the fact that the hit is severe and fataslistic for the employment.
As American cities and state are implementing mandatory social distancing, many businesses like hotels, restaurants, bars, gyms and coffee houses have been forced to shut. Many of these establishments have started laying off staff and stopping their paychecks.
As a result many people have gone jobless with the Labor Department reporting that 281,000 Americans filed for unemployment last week, a huge increase of 70,000 from the prior week.
The state unemployment offices, which deliver benefits to the jobless, are facing a growing number of requests for benefits as people have to pay rents as well as arrange for food for their families. The situation has become grim for daily wagers.
Detroit’s Big Three automakers — Ford, General Motors and Fiat Chrysler have shut down their plants due to coronavirus. The impact of coronavirus is not only on the service sector, but also has adverse impact on manufacturers and thus hurting the US economy. Smaller manufacturers are also facing bleak prospects.
Expressing his plight to The New York Times, Kevin Cain, a shoe manufacturer in Dexter, Maine, says his business has reduced by a third in last couple of weeks.
We usually have a backlog, but we don’t have that for April. In March, we’ll probably be break-even. It doesn’t look good.
Airlines To Go Bankrupt
Travel and airlines are the two industries that have been hit hardest by coronavirus in the US. As international and domestic airlines have been restricted, the revenue has gone down.
Quoting the International Air Transport Association, a report in USA Today says that the US and Canadian airline industry could lose as much as $21.1 billion in revenue.
As there are no flyers, major airlines are bracing for recession by grounding their planes, freezing new hiring as well as asking employees to go unpaid leave. According to CAPA Centre for Aviation, a consultancy, most airlines in the world will be bankrupt by the end of May unless governments intervene, says a CNN report.
Shipping Industry Hit Hardest
Supplies of major industries have been disrupted due to irregularities in the shipping industry because of coronavirus. China, which is world’s foremost shipping hubs, has closed its ports and have send workers home. A USA Today report says that the International Chamber of Shipping said COVID-19 has costed the worldwide industry around $350 million per week.
Hence, the impact of coronavirus on the US is indeed huge. It is time for the government to think of some rescue measures for industries that are in need of a bailout.
What is Trump thinking:
$1 Trillion recue package
With legistaltion failed to pass a more than Covid-19 $1 Trillion recue package — Trump is feeling the threat that Americans will vote him out if he is unable to recover the US economy by Nov.
President Donald Trump considers reopening US economy despite coronavirus crises: We are not letting it turn into a long lasting financial problem. Coronavoris is a medical problem and we will not let it go beyond that.
Americans Will Vote Trump Out In Nov, If U.S. Economy Has Not Recovered By Then…