World’s GDP, Jobs on the Line as Second Wave of Covid-19 Surges in Europe, America
The Covid-19 pandemic seems to be roaring back to what health specialists have described as the second wave. This is because many countries in Europe and America after months of lockdown measures started relaxing the restrictions and life had begun returning to normal. In the past two weeks the pandemic’s trajectory has nosed up rapidly and many economists fear the world’s economy might dip again.
Germany and Poland have already imposed new lockdown restrictions with bars and restaurants shutting down. Germany has gone much further closing bars and shops and other nightlife activities except pharmacies and gas filling stations.
French President, Emmanuel Macron during a televised message announced a nationwide lockdown beginning Friday, October 29. According to him, the second surge could be deadlier than the first, and the need to stem it was urgent.
In the United Kingdom, as many as 96,000 new cases are registered per day and many people are calling for new containment measures to be put in place. It is estimated that that infections in England are doubling every nine days. With this geometric progression, medical experts are predicting that if nothing is done, health facilities will be overwhelmed leading to more deaths.
As Europe scrambles to contain the rise in Coronavirus cases, the United States is witnessing an upshoot both in the number of new cases and deaths. The situation in the US has further been compounded by the upcoming Presidential Election. While President Trump is optimistic and thinks that the US is turning the curve, former Vice President Biden has accused him of recklessness. He thinks that President Trump's rallies with thousands of people in attendance, with few or no masks, are super Covid-19 spreaders events. In Iowa, hundreds of polling stations have been shuttered due to the upsurge of covid-19 in the State.
With the uncertainty of the trajectory of the Covid-19 pandemic, the Organization of Economic Cooperation has declared that with the second wave of Covid-19, the world gross domestic product (GDP) would plunge by more than 7%, and more than 40 million people would lose their jobs.
48 United States economists from the National Association of Business Economists on Monday predicted a grim future for the country’s economy. They argued that if adequate measures are not agreed to, and put in place, the US’ GDP would shrink by 5.8% -the steepest decline since the 940s.