Coronavirus or Covid-19 has left the world shredded and has been claimed a lot of lives in the world. The world went into lockdown and has faced problems both mentally and physically.
Although with the help of this lockdown the world succeeded in flattening. The curve presently is going through the second wave. Where they are facing the same economical crisis, lockdown, claiming of lives, etc. This pandemic is clearly not ending anytime soon.
The researchers are working day and night to find how the world is going to manage this virus. In the future and continue the basic living style of humans.
Covid-19 has evidently changed the world entirely. Not only individual personal finances have been hit but the entire economy is bearing the after-effects. The differences are unbelievable, and the governments are still trying to recover. The economy and avoid the phase of recession which can lead to more serious troubles.
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Impact on Economy & Different Sectors
To be precise, here are the following effects that coronavirus had on the global economy:
1.Tourism and Hospitality industry:
The tourism industry is one of the most impacted industries when compared to other industries. Due to the lockdown going on in the countries. The flights have been canceled, people are quarantined in their homes. Hotels have become quarantine centers that are helping the government and the doctors for their stay and also to treat the patients.
Flights and railway stopped operating and traveling can be explained as being banned. So there was no money generated from that sector. The hotels and flight operating companies faced huge losses and are still unable to recover them.
Presently, the companies have imposed strict restrictions. Are following strict government rules which can help the people who are traveling right now a safer and stress-free trip. The radar shows that it will take quite a long time for the industry to recover and go back to normal like before. Countries specifically which has their main income from tourism is suffering badly and have shut their borders or imposed very strict rules to control the situation from getting worse.
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Unemployment:
The world being in lockdown, the economies facing recession, and the industries being shut has caused a turnover in the world. As there were no active earnings made by the industries. The companies started removing people from their jobs due to which the people started becoming unemployed. Many families are suffering due to the same. There are no earnings earned by many and the people are dying of hunger and helplessness.
Companies are preferring to hire experienced people so as to uplift their companies sooner and un-employing the people in the junior positions. It has been tough for the companies as well because of the loss they are going through.
It will take a lot of time for the industries to go back to normal and people to find jobs again.
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Economic recession:
Due to unemployment and deficits in the companies, people dying and losing their jobs- many economies faced recession. The economy went through major transformations and has been spending a lot on healthcare and saving people lives due to which it is still at the verge of losses.
The industries being shut, the GDP kept falling down. There are barely any countries in the world which has not faced losses or recovered from the losses they have incurred. This situation will have a serious reaction even in the future as the market will be bullish as soon as the industries go back to working as normal so it will also take time for the people to get acquainted with the shift from bearish to bullish market.
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Digitalization:
Industries have been going through a phase of digitalization. Work from home has been initiated in the companies and even the schools, universities are taking the classes of the students on an online basis to avoid the increment in the curve of Covis-19 cases.
The world is still trying to accommodate with such features of the present situation. The industries are trying to make all the features available for its customers online so that they can earn profits and regain customer satisfaction. The senior people who are not well acquainted with the digital world are taking assistance from others to help them.
Teachers are learning methods to help his/her students to even excel in such situations. No doubt, new and existing best edtech companies have seen a boost. This phase of digitalization has surely taken the world on a roller-coaster ride and initiated the understatement that it is essential for the people now to understand the digital scenario and manage it well.
Conclusion:
To conclude, Covid-19 is surely the toughest situation the mankind is suffering from but it is essential for the humans to come together and fight this pandemic for the upliftment of the society and the economy.
