The epidemic may push 100 million people back into extreme poverty. How much damage will this epidemic bring to the economy?

The president of the World Bank once issued an emergency announcement because the new coronavirus epidemic may push more than 100 million people back into extreme poverty. It has been estimated before that more than 60 to 70 million people will fall into extreme poverty, but as the epidemic continues to worsen, this number may rise again. The epidemic has caused factories to shut down or even close down

Due to the epidemic, many factories have closed down or have partially laid off employees. As a result, some people lost their jobs, lost their source of income, and were unable to afford the daily expenses of themselves and their families. The return of so many people to extreme poverty would undo the gains made in reducing poverty over the past three years. This crisis is different from past economic crises. It has a lightning-fast impact on the global economy, causing a very large decline in the economic growth of various countries. In the initial international epidemic, the epidemic spread faster and the number of people was greater than that in China, but the cost of treatment in China was borne by the state.

Preventing a resurgence of the epidemic

Without a job, there is no source of income, and without a source of income, it is difficult to live. If you don’t go to work, you won’t get any wages. Without wages, the state won’t provide much subsidies. Now that the epidemic in China has been effectively controlled, our current main task is to prevent the domestic epidemic from rebounding and prevent the importation of foreign diseases.

Impact on our lives

Affected by the epidemic, our production and life have pressed the pause button. Normal production activities across the country have been greatly hindered, which has brought great harm to the country’s The economy has had a huge negative impact. The impact of the epidemic has increased many costs. During the epidemic, factories cannot operate normally, production will come to a standstill and supply will be reduced.

Nowadays, companies in many countries have entered the stage of debt. Even if employees do not go to work and are not paid, the monthly water, electricity, rent and payment for goods cannot be stopped. Therefore, many companies cannot stop paying them. It couldn't resist and declared bankruptcy. For business owners, there are still many places where money is needed, so they cannot stand still.