Monday July 4, 2022
اردو
Dialogue Pakistan Dialogue Pakistan
Dialogue Pakistan Dialogue Pakistan
  • Citizen Journalism
  • Pakistan
  • World
  • Sports
  • Entertainment
  • Videos
    • Feature Videos
    • In House Videos
    • Mobile Footage
    • Documentaries
  • More
    • Features
    • Health
    • Sci-Tech
    • Business
    • In Pictures
    • Facebook
Features

How the coronavirus is causing a market crash

by Web Desk March 10, 2020

AA

 How the coronavirus is causing a market crash

Investors are expecting potential global recession because of the coronavirus as it is simultaneously destroying the demand and supply. No one really knows what is going to happen with the coronavirus as far as economies and businesses are concerned. World markets are more afraid of the infection as they record historic losses.

This virus is going to wreak havoc on economic growth. Recession 2020 is looming and financial markets are behaving very much like 2008. It’s now affecting almost all sectors of the market. Economic experts have said that the falling oil price is not encouraging as it is a sign of weak economy amid fear of the disease as consumer buying power is drying up.

All countries rely on China’s manpower and manufacturing ability. China is the world’s factory, they have 2.8 million factories which is 10 times bigger than the United States. Of course, if they took a hit, then the world is also going to be affected. Another big factor in the drop of economy is an oil price war between Saudi Arabia and Russia. The world economy is slowing down which manifests all the failures of the globalization.

Also Read: Govt extends measures in health screening checks at all entry points: Zafar Mirza

Since the crisis did not originate in banks, so it did not directly hit the nerve centre of modern market-based economies – payments and settlements systems.

In a fresh Financial Times article, Mohamed El-Erian has suggested whole-of-governments approach to control the situation. To stop the circumstances from exacerbating, specific and targeted measures should be taken to create a sustainable economic floor, he said.

Radical measures should be taken to contain the virus including mass coronavirus testing and treatment should be initiated, the economist suggested.

Mohamed El-Erian said true productivity-enhancing reforms should be pursued to boost growth, rather than overly relying on actions of the central banks.

“Lastly, there must be supplementary international co-ordination to establish what collective actions can be deployed,” he wrote in the newspaper adding that the faster it was done, the better the economic turnaround would be.

 The economic recovery will depend on more genuine and lasting steps, unlike the global financial crisis 12 years ago. The writer said low mortgage rates and energy prices will boost consumer purchasing power as well as economic revival.

Post Views: 89

Share This:

Tags: coronavirus Economy market crash
Previous post
Next post




Polls

Should the release of foreign movies be delayed to help support Pakistani cinema?

View Results

Loading ... Loading ...
Most Recent
In House Videos

People’s Bus Service – Cost, Routes and

July 2, 2022
Feature Videos

What is the IMF deal and who’s

July 2, 2022
In House Videos

Trailer launch of the most awaited film

July 2, 2022
World

Indian flight makes emergency landing after smoke

July 2, 2022
July 2022
M T W T F S S
 123
45678910
11121314151617
18192021222324
25262728293031
« Jun    
Related Stories for you

Karachi’s Covid-19 positivity ratio exceeds 21%

June 23, 2022

Karachi is witnessing an alarming surge in coronavirus cases by the Omicron variants BA4 and BA5 with positivity rate reaching

Govt to increase 15% in salaries for govt employee, 5% in pensions

June 10, 2022

The federal cabinet on Friday approved a 15% increase in the salaries of federal government employee and a 5% increase

Govt decides to levy sales tax by Rs30 on petroleum products

June 10, 2022

The coalition government has decided to levy sales tax by Rs30 on petroleum products (POL) in the next financial year

Dialogue Pakistan

Citizen Journalism is the collection, dissemination and analysis of news by the people for the people especially by the means of internet. Dialogue Pakistan is the country’s first citizen journalism portal to provide Pakistanis an opportunity to get themselves heard aiming to encourage citizen journalism inculcated with ethical values.

Quick Links

اردو
About Us
Advertise
Careers
Contact

Category

Citizen Journalism
Pakistan
World
Sports
Entertainment
Features

Download our APP

Social Platforms

  • Facebook
  • Twitter
  • LinkedIn
  • Instagram
  • Youtube
Copyright 2022.Dialogue Pakistan. All Rights Reserved.