How much will the global outbreak affect the US economy?
2020-03-28
Let's talk about indirect effects first. In fact, even if the outbreak does not occur in the United States, it will have an indirect impact on the U.S. economy, because China, Japan, and South Korea are all part of the U.S. manufacturing industry chain. It is impossible to produce the spare parts required by American enterprises, and the impact on the American manufacturing industry is certainly more serious.
For example, a few days ago, Apple announced that the established sales revenue might not be completed because China's production capacity could not keep up. This is the direct impact of China on the United States. In addition, Chinese auto parts companies cannot resume work in a timely manner, so the general-purpose auto parts in the United States may not be able to obtain timely supplies. GM production in the United States is bound to be affected.
The U.S. economy is directly affected by the global epidemic. The outbreak of the global epidemic will aggravate the uncertainty of the U.S. economy, and U.S. stocks, which are the barometer of the U.S. economy, will plummet. The U.S. slump will have a great impact on the economy and finance. . To this end, the US President hinted that Fed Chairman Qian Powell has cut interest rates. This time, the Fed also actively lowered 50 basis points because of uncertainty about the future trend of the US economy. But even so, US stocks have been under pressure from the market. And if the US stocks enter a long-term decline cycle, then the income of American investors will decrease, and their spending power will be affected. The entire U.S. economy is driven by consumption, so the consumption of the American people is far more terrible than the epidemic Gas stove.
Of course, if large-scale tests in the United States are found, the number of confirmed diagnoses in the United States is out of control. Then American companies will stop production. Even if the U.S. government rejects such an order, companies will voluntarily stop work, because life is always more important than money. And now there is no stoppage, mainly because the general public thinks that the epidemic is not so serious. Judging from the current situation, the number of patients diagnosed with the New Crown epidemic in the United States will increase in the future, and the cure rate will increase, and the mortality rate will decline. Therefore, the possibility of a large-scale outbreak of the new crown in the United States is not high, but even so, this new crown epidemic is a major blow to the global economy and even the US economy. It is expected that the world economy will slow down this year.
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