Coronavirus Effect on World

Hello Everyone My Name is Vivek Chaturvedi. I am writing a vlog about Coronavirus Effect on World.

The effects  of Coronavirus on economic development of human beings and our country?

The COVID-19 pandemic has resulted in over 4.3 million confirmed cases and over 290,000 deaths globally. It has also sparked fears of an impending economic crisis and recession. Social distancing, self-isolation and travel restrictions have lead to a reduced workforce across all economic sectors and caused many jobs to be lost. Schools have closed down, and the need for commodities and manufactured products has decreased. In contrast, the need for medical supplies has significantly increased. The food sector is also facing increased demand due to panic-buying and stockpiling of food products. In response to this global outbreak, we summarise the socio-economic effects of COVID-19 on individual aspects of the world economy.

Labelled as a black swan event  and likened to the economic scene of World War Two , the outbreak of COVID-19 (the disease caused by Severe Acute Respiratory Syndrome Coronavirus 2 (SARS-COV-2)) has had a detrimental effect on global healthcare systems with a ripple effect on every aspect of human life as we know it. Sohrabi et al. highlighted the extent of the outbreak with the World Health Organisation (WHO) declaring the COVID-19 outbreak as a global emergency on January 30, 2020. In a response to ‘flatten the curve’ , governments have enforced border shutdowns, travel restrictions and quarantine  in countries which constitute the world's largest economies, sparking fears of an impending economic crisis and recession. In an attempt to understand the turmoil effect on the economy, we summarise the effect of COVID-19 on individual aspects of the world economy, focusing on primary sectors which include industries involved in the extraction of raw materials, secondary sectors involved in the production of finished products and tertiary sectors including all service provision industries.

Primary Sectors 

Agricultural 

The resilience of the agricultural sector has been tested by the COVID-19 outbreak. A global crash in demand from hotels and restaurants has seen prices of agricultural commodities drop by 20% . Countries around the world have imposed a number of protective measures to contain the exponentially increasing spread. This includes social distancing, avoiding unnecessary travel, and a ban on congregations. Advice on self-isolation upon contact with suspected carriers of the virus is likely to impact the number of available inspectors and delivery staff critical to ensuring verification and transportation of products. This will have pronounced implications for perishable goods such as meat and vegetables. Furthermore, markets have gone a step further by shutting down floor trading which has impacted the ability to exchange commodities. The Chicago Mercantile Exchange is a recent example . ‘Panic buying’ is further complicating shortages beyond supermarket shelves. The American Veterinary Medical Association (AVMA) have expressed concern over low levels of animal pharmaceuticals from several large drug suppliers.

Petroleum and Oil

During a meeting at the Organisation of the Petroleum Exporting Countries (OPEC) in Vienna on March 6th, a refusal by Russia to slash oil production triggered Saudi Arabia to retaliate with extraordinary discounts to buyers and a threat to pump more crude. Saudi, regarded as the de facto leader of OPEC, increased its provision of oil by 25% compared to February – taking production volume to an unprecedented level. This caused the steepest one-day price crash seen in nearly 30 years – On March 23rd, Brent Crude dropped by 24% from $34/barrel  to stand at $25.70 . Although a deceleration in the number of COVID-related deaths has caused some stabilisation of oil prices, there is still much uncertainty.

On the background of a viral outbreak already dampening the demand for oil, this oil-price war is predicted to have grave implications for the global economy. In more ordinary times, cheap oil may have functioned as an advantage for economies. However, savings on petrol are unlikely to be redirected into more spending as populations are instructed to practise social distancing and the working class are uncertain about job security. Furthermore, any increase to consumer activity is likely to be outweighed by damage caused to populations reliant on revenue from other forms of energy such as Shale gas. Economic modelling from Imperial College's Centre for Climate Finance and Investment has suggested ‘Carbon Dividends’. A £50/tonne of CO2 tax could be channeled into UK households in order to stimulate consumer spending whilst keeping oil prices at the same level as February 2020. However, this relies on turbulence between Saudi Arabia and Russia, thus should not be considered sustainable for the long-term.

Secondary sectors 

Manufacturing industry 

A survey conducted by the British Plastics Federation (BPF) explored how COVID-19 is impacting manufacturing businesses in the United Kingdom (UK). Over 80% of respondents anticipated a decline in turnover over the next 2 quarters, with 98% admitting concern about the negative impact of the pandemic on business operations. Importation issues and staffing deficiencies stood out as the key concerns for businesses due to disruption to supply chains and self-isolation policies. Indeed, for many roles within a manufacturing company, ‘working from home’ is not a viable option. As the UK is adopting similar protective measures to the rest of the world, and due to the global overlap of supply chains, we can expect these anxieties to transcend borders. The Chemical Industry is predicted to reduce its global production by 1.2%, the worst growth for the sector since the 2008 financial crash. Major chemical manufacturing companies such as BASF who were in the process of upscaling production in China have had to delay their activities, contributing to a slowdown in predicted growth.

Education sectors 

Mid-April: A total of 1.725 billion students globally had been affected by the closure of schools and higher education institutions in response to the COVID-19 pandemic. According to the UNESCO Monitoring Report, 192 countries had implemented nationwide closures, affecting about 99% of the world's student population.

Most governments decided to temporarily close educational institutions in an attempt to reduce the spread of COVID-19. As of 12 January 2021, approximately 825 million learners are currently affected due to school closures in response to the pandemic. According to UNICEF monitoring, 23 countries are currently implementing nationwide closures and 40 are implementing local closures, impacting about 47 percent of the world's student population. 112 countries' schools are currently open.

On 23 March 2020, Cambridge International Examinations (CIE) released a statement announcing the cancellation of Cambridge IGCSE, Cambridge O Level, Cambridge International AS & A Level, Cambridge AICE Diploma, and Cambridge Pre-U examinations for the May/June 2020 series across all countries. International Baccalaureate exams have also been cancelled. In addition, Advanced Placement Exams, SAT administrations, and ACT administrations have been moved online or cancelled.

Early childhood education and care (ECEC) as well as school closures impact not only students, teachers, and families, but have far-reaching economic and societal consequences. School closures in response to the pandemic have shed light on various social and economic issues, including student debt, digital learning, food insecurity, and homelessness, as well as access to childcare, health care , housing,  internet,  and disability services. The impact was more severe for disadvantaged children and their families, causing interrupted learning, compromised nutrition, childcare problems, and consequent economic cost to families who could not work.

In response to school closures, UNESCO  recommended the use of distance learning programmes and open educational applications and platforms that schools and teachers can use to reach learners remotely and limit the disruption of education.

Finance sector 

COVID-19 has affected communities, businesses and organisations globally, inadvertently affecting the financial markets and the global economy. Uncoordinated governmental responses and lockdowns have led to a disruption in the supply chain. In China, lockdown restrictions significantly reduced the production of goods from factories, while quarantine and self-isolation policies decreased consumption, demand and utilisation of products and services. As COVID-19 has progressed to affect the rest of the world, China will begin to recover faster than the rest of the countries, strengthening its trade negotiating power against the US. In fact, chinese companies will be in the advantageous position to acquire their western counterparts, which are greatly dependent and will be inevitably affected by the stock market.

In addition to the disruption in the supply chain, the capital market sector has also been affected. In the US, the S&P 500, a stock market index that measures the stock performance of 500 large companies on the US stock exchange, the Dow Jones Industrial Average and the Nasdaq fell dramatically until the US government secured the Coronavirus Aid, Relief, and Economic Security (CARES) Act, with the indexes raising by 7.3% , 7.73%  and 7.33%  respectively . Furthermore, 10-year US Treasury bond yields have dropped to 0.67%. In the Asian markets, the same pattern followed with China's Shanghai Composite, Hong Kong's Hang Seng and South Korea's KOSPI, initially dropping then followed by a rise in stocks after governmental support. Japan's Nikkei was up 2.01%. Europe's bond yields mostly declined, reaching market stress hit levels faced in the eurozone crisis of 2011–2012. Germany's DAX, the UK's FTSE 100 and the Euro Stoxx 50 were all down on March 23rd, but rose significantly after the EU's rescue package was agreed. Gold dropped against the dollar by 0.65%.

Tertiary Sectors

Health

The COVID-19 pandemic has caused an unprecedented challenge for healthcare systems worldwide. In particular, the risk to healthcare workers is one of the greatest vulnerabilities of healthcare systems worldwide. Considering most healthcare workers are unable to work remotely, strategies including the early deployment of viral testing for asymptomatic and/or frontline healthcare staff is imperative.  High healthcare costs, shortages of protective equipment including N95 face masks, and low numbers of ICU beds and ventilators have ultimately exposed weaknesses in the delivery of patient care. In the US, there is concern regarding uninsured individuals, who may work in jobs predisposing them to viral infection which may lead to significant financial consequences in the event of illness.

Pharmaceuticals 

Profound changes to the dynamics of healthcare are likely to ensue, leading to massive investment into disease prevention infrastructure, and the accelerated digital transformation of healthcare delivery. Nicola et al. have highlighted the change in healthcare policy and clinical management as new evidence emerges. In the US, active pharmaceutical ingredients are imported largely from India (18%) and the EU (26%), while China accounts for 13%. China is also the biggest exporter of medical devices to the US, accounting for 39.3%. Production slow-downs and limitations in supply would inadvertently lead to revenue loss. In the UK, AstraZeneca have indicated that COVID-19 is likely to affect its 2020 revenue growth.

Conversely, opportunities for companies engaged in vaccine and drug development have simultaneously emerged, with US-based companies including Johnson & Johnson, Vir Biotechnology, Novavax and NanoViricides having announced collaborative plans to develop a viral vaccine. A Phase 1 clinical trial evaluating an investigational COVID-19 vaccine is currently underway, and will enroll 45 healthy adult volunteers ages 18–55 years over approximately 6 weeks.

Hospital sector

The hospitality and travel industry have perhaps been most hard-hit, with hourly workers facing potentially devastating hardships. Marriott International (approximately 174,000 employees) is poised to place tens of thousands of workers on furlough. Hilton Worldwide has also notified lenders on March 5, 2020 that they would be borrowing a precautionary $1.75bn under a revolving loan to preserve money and to maintain flexibility “in light of uncertainty in the global markets”.

Hotel industry revenue per available room in the United States fell 11.6% for the week ending March 7, 2020, whilst in China occupancy rates fell 89% by the end of January 2020. Other United States hotel companies are seeking approximately $150bn in direct aid for employees due to an unprecedented fall in demand, along with an estimated $1.5bn loss since mid-February.  MGM Resorts International have also announced a temporary suspension in operation at its Las Vegas properties, with casino operations closing on 16th March, followed by hotel operations. Since March 1, 2020, hotel occupancy in Germany decreased by over 36%. Italian cities including Rome have been inadvertently affected with a current occupancy rate of 6%, whilst London remains the most stable with an occupancy rate of approximately 47%. Overall, the COVID-19 crisis has led to international distortions for the hospitality industry, and significant slumps for the European hotel market.

Tourism 

The tourism sector is currently one of the hardest-hit by the outbreak of COVID-19, with impacts on both travel supply and demand. As a direct consequence of COVID-19, The World Travel and Tourism Council has warned that 50 million jobs in the global travel and tourism sector may be at risk. In Europe, the European Tourism Manifesto alliance, encompassing over 50 European public and private organisations from the travel and tourism sector, have highlighted the need to implement urgent measures. These include temporary state aid for the tourism and travel sector from national governments as well as fast and easy access to short- and medium-term loans to overcome liquidity shortages, including funds made available by the EU through the Corona Response Investment Initiative, and fiscal relief. The alliance has also called for the launch of the European Unemployment Reinsurance Scheme.

Internationally, Vietnam received approximately 1.45 million Chinese visitors in the first quarter of 2019, dropping by 644,000 in January of 2020. It is estimated that Vietnam's tourist sector will suffer a $5bn loss should the COVID-19 pandemic extend into the second quarter of 2020 . Moreover, the Philippines is projecting a 0.3–0.7% slowdown in the country's full year GDP. In the United States, restriction of all non-essential travel, US-Canada border closure, and the suspension of visa services may accelerate disruption of the American economy. In the UK, many parks are now closing to further enforce social distancing as they have in Italy.

Corona virus destroy my peoples live. Someone lose our family. Someone Lose house, family, Money. Coronavirus destroy  many  countries economic. 

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