Impact of COVID-19 on our ECONOMY

The extent to which the COVID-19 pandemic has affected countries varies vastly, connected in part to the respective government’s handling of the situation. These national responses can be worlds apart – both in terms of efficacy and as survey data from YouGov shows, the subsequent level of public approval, too

The World Bank published its latest Global Economic Prospects report on Monday, providing us with another glimpse of the expected economic fallout of the COVID-19 pandemic. According to its revised forecasts, the global economy will shrink by 5.2 percent this year, which would mark the deepest recession since World War II.

In economics a V-shaped recovery is broadly defined by a sharp decline in output, employment or any other metric measuring the health of the economy followed by a quick and sustained recovery. It is different from an L-shaped recovery, in which the economy slumps for a longer period of time or, among others, a W-shaped recovery, which is characterized by, you guessed it, a brief recovery followed by another steep downturn and a second swift recovery.