Covid-19 has sent shockwaves beyond imagination in recent history. It is not just the developing countries reeling to get back to normal, but even the most economically profound nations like the United States of America. It is the first time since the Great Depression of the early 20th Century that the county has witnessed an economic drop of epic proportions, up to $2 trillion to be specific. The pandemic is yet to be curbed, and the trends continue to paint a grim picture across all the states.
Employment rates have hit an all-time low while businesses scramble to hang on. As per the new data, the current GDP has plummeted from $ 21.6 trillion to $ 19.5 trillion amid the first and second quarters of 2020. The first quarter, between March-June of 2020, witnessed a 31.4 % drop in the GDP. Slowed consumer activity during this period has primarily restricted economic growth in different industrial sectors. Here is a list of some of the biggest industries that have dipped massively amid Covid-19:
- Accommodation and Food
- Social Assistance and Health
- Warehousing and Transport
- Manufacturing of Durable Goods
The hardest hit among the aforementioned industrial sectors were related to accommodation and food services across 18 states, dropping by 4.38 % to be specific.
Hawaii, the most visited tourist spot, witnessed a massive drop in tourism by 18.85 %. The health sector was affected in 17 states. Tennessee was the hardest hit by -6.25 %. The Financial Services sector has been the best performer during the pandemic. Delaware State, comprising central banks like Capital One, and JP Morgan Chase, grew by 4.47%. Despite a positive upward trend, the state’s GDP could not sustain its overall GDP since other sectors performed dismally.
Considering all the above-mentioned economic trends, it seems that the road to financial recovery is a long one—the reason being the prolonged effects of Covid-19, which continues to wreak havoc globally. Additionally, there is no sign of retreat anytime soon since a potent vaccine remains a distant dream even for the most prosperous nations. However, the race to develop an effective coronavirus treatment is on. According to experts, it could take up to two years before a cure to the disease is finally available.
As of now, the best way to heal is a precaution. The more proactive people and world governments become in terms of taking responsibility and playing their role, the more resilient they will be. It is collective resilience and personal care that will help buy more time before a cure is available. After all, a pandemic is a global problem. Hence, it requires a global unity to defy its effects.