Top 10 implications of the Coronavirus pandemic

The world experienced its last pandemic back in 2009 when the H1N1 swine flu infected 1.4 billion people and killed several hundreds of thousands.

With the last pandemic having happened a little over 10 years ago, one may think that government agencies all over the world were more prepared to control another outbreak better. But we forget to consider one important factor: this is the first pandemic happening in the era of social media and digitalization. This can have positive as well as negative effects on the evolution of the situation.

While there is no way to know for sure what the implications of Coronavirus pandemic will be, experts on various sectors have started sharing their predictions.

We will learn to take things seriously

It is estimated that between 70 million and 150 million people in the U.S. will be infected with COVID-19 and that it is no longer a matter of “if”, but rather “when” this situation is going to happen. But up until recently, nobody seemed to take things seriously, despite officials advising people to stay inside and limit social contact to prevent the virus from spreading.

If predictions are real, this means nearly half of the U.S. population could become infected with the virus, which would mean we could be facing a collapse of the healthcare and economic sector.

Paid medical leave will become a necessity

Paid medical leave has been an ongoing discussion for many years in the United States, especially since nearly one-quarter of American workers don’t get paid medical leave at all.

However, given recent events, President Trump signed the Families First Coronavirus Response Act, which allows employees affected by the Coronavirus outbreak to get paid leave. But unfortunately, the new law does not cover everyone and has some massive loopholes. If things continue the same, paid medical leave needs to become mandatory so that employees suspected of carrying the virus can stay home.

Activity is slowing down in various business sectors…

With so many people quarantined at home or in healthcare institutions and social contact limited, some businesses will experience significant activity slowdowns. Retailers, manufacturers, and the hospitality industry will probably suffer most as people are on lockdown. This can be observed in China right now, with their manufacturing industry registering a record-low of 40.3 in the Purchasing Managers’ Index (PMI).

In China’s case, the slowdown will affect not only them, but also countries such as Singapore, Vietnam, and South Korea, which have close economic links to China.

…but increasing in others

However, some industries will experience a boom during these times, especially those with a robust online presence, whose activity does not rely on their physical locations. While the sports industry has been profoundly affected by the Coronavirus pandemic and were forced to cancel a large number of events, streaming platforms and video games companies are the only one people can rely on for some entertainment.

These companies, together with those in the delivery sector, will thrive during these times. But they also take on a massive responsibility to aid people who need to stay at home.

Oil and gold prices are declining

Gold has long been considered an investment safe haven, especially in times of financial uncertainty, but things seem to be heading south in this sector as well. The price of gold has declined significantly in the last month, even though it was on a growing trend up until March.

The oil sector has it much worse. Oil prices have hit the lowest mark since 2002, with one barrel now being worth $20.37, and investors fear the prices will go even lower. Oil has been a powerful fuel for the global economy, but now the demand is shrinking since the coronavirus has put the travel industry on a downward path.

Stock prices have hit historical lows

Investors have yet one thing to fear, as stock prices have been decreasing significantly in various markets. Experts say there are three main ways the Coronavirus outbreak has impacted the financial market.

For starters, we have the slowdown in China’s manufacturing and overall business sector, as a large part of the country is still on lockdown. Then, we have the slowdown caused by domestic outbreaks in various parts of the world, with automotive companies such as Volkswagen, BMW, and Ford closing plants all across Europe. And last but not least, financial market stress, as investors are afraid to put their money at risk.

Globalization could be at risk

For decades now, globalization has been an ongoing discussion, but as the COVID-19 outbreak is spreading, countries seem to become more nationalistic than ever. Travel bans, export restrictions, and other precaution methods have made collaboration between countries even more difficult. This has caused some states to realize how much they depend on other nations.

While on some levels, these disruptions will only be temporary, the lasting impacts of the crisis need to be taken very seriously.

The environment is the only one thriving

During these dark times, it is essential to keep a positive mindset and see the potential good in what’s happening right now. All of the restriction measures have led to several businesses slowing down their activity or closing their factories entirely, especially in China.

Nasa has released images taken from their pollution-monitoring satellites showing nitrogen dioxide levels have dropped significantly, meaning the environment is now less polluted. At the same time, water in Venice’s canals seems to be clearer, with people reporting seeing swans and even one dolphin in the waters.

Employers will reconsider remote work

To avoid the disease spreading even faster, governments have recommended businesses to allow employees to work from home as much as possible. Telecommuting has been an ongoing topic of discussion in the U.S., but employers have been very skeptical of its success.

Now, as the pandemic strikes, it will serve as a good way to test the waters and see just how efficient working remote is. Our guessing is that more employers will start to see working from home can have significant benefits and reconsider their beliefs.

The healthcare sector will receive more funding

The healthcare system is a concern not only in the U.S. but in many other countries as well. To effectively test, hospitalize, and treat patients, governments need to pour money into their healthcare sector as fast as possible.

As the number of cases all over the world is increasing, hospitals and medical personnel are overwhelmed by the situation. France is building temporary hospitals, Germany is expanding its intensive care beds capacity, and several other countries are calling in medical personnel to help aid with the crisis.

The fact that scientists say we haven’t even reached the outbreak peak yet leaves us only speculating about its implications. However, experts believe we are going to see some massive changes. Some of these changes will have a positive impact, while others may leave us struggling, but things are certainly not going to stay the same.