World stock markets have plummeted amid concerns about the impact of the coronavirus on the global economy

World stock markets have plummeted amid concerns about the impact of the coronavirus on the global economy. In China and a number of other countries, the closure of cities and borders is undermining industries such as manufacturing, trade and tourism. If the spread of the virus turns into a pandemic, the consequences are expected to be even more severe for the economy.
As the number of people infected with the coronavirus has risen around the world, stock prices have plummeted from the United States to Asia and Europe.
“The market is realizing that the epidemic has not yet reached its peak, continues to spread, and is disrupting the global supply chain, tourism, and many other areas,” said Desmond Lohman, a researcher at the American Business Institute.
Many countries around the world have begun closing borders and roads with countries where the virus has spread. This is having a negative impact on global trade."In China, 150 million people can't go anywhere," he said. Those who go home for the holidays, those who go for the New Year, can't go back to work, ”Lohmen said.Not only companies but also consumers are worried.
"We know the real economic impact of this virus," he said. We already see that. "Apple, for example, has talked about a decline in iPhone production in the near future," said economist Mark Hemrick.Some say the economic damage is inevitable, but short-lived. Hemrik makes the coronavirus look like a hurricane. As soon as he passes, recovery will begin and everything will return to normal, he said."It's a serious problem for short-term investors," he said. Those looking for the medium to long term may not be so worried. They say their lives are about betting and fighting, ”he said.
But researcher Desmond Lohmen says the virus will have a long-term impact on the Chinese economy. Because, he says, only Chinese-owned companies will start looking for other markets for supplies.
Companies learn from this work. The Chinese economy is feeling the long-term complications of this. The country will lose its attractiveness for foreign investment, ”he said.The coronavirus is not the last of the pathogens that wreak havoc on the economy. The question is what lessons can be learned from this problem and how prepared countries are for future epidemics, experts say.
The impact of the Chinese COVID-19 coronavirus on the country's economy has been assessed. Sun Lian, secretary of the State Committee for Development and Reform of the People’s Republic of China, said the impact of the coronavirus epidemic on the Chinese economy was short-lived and would not affect its long-term prospects.
“It should be noted that the socio-economic impact of this epidemic is short-lived, controllable and will not change the long-term development path of the country’s economy,” Lian said.
He added that measures to prevent the epidemic have begun to be effective, and that the government has the confidence, resources and conditions to reduce the impact of the epidemic on the economy and ensure the country’s sustainable socio-economic development.
At the same time, Sun Lian acknowledged that the epidemic had hit the economy hard enough. He said the virus had a significant impact on the consumer market and related services during the New Year holidays. In general, the epidemic has mainly affected small and medium-sized businesses in China.
The World Monetary Fund has said that if the coronavirus epidemic is quickly eradicated, it will not have a major impact on China’s GDP growth in 2020.

New coronavirus

A new virus appeared in mid-December last year in Wuhan, the capital of China's Hubei province. On December 31, the Chinese government warned the World Health Organization that an epidemic had broken out in the country.
In addition to China, there are currently 30 countries with coronavirus patients - Japan, Thailand, Singapore, South Korea, Hong Kong, Australia, Taiwan, Macao, Malaysia, USA, Germany, Vietnam, France, UAE, Canada, Philippines, UK, Russia, Italy , India, Finland, Sweden, Sri Lanka, Cambodia, Nepal, Spain, Belgium, Lebanon, Egypt, Iran, Israel and Iraq.

To date, the virus has killed 2,619 people and infected 79,561. The World Health Organization (WHO) has declared an international public health emergency due to the spread of the new coronavirus. It is an official statement issued in the event of a serious threat to human health. WHO has officially named the new coronavirus and it has been named COVID-2019.

To date, the coronavirus has surpassed atypical pneumonia (SARS) in 2002 and Middle East respiratory syndrome (MERS-CoV) since 2012. SARS infected 8,096 people, of whom 774 died (9.6 percent). The MERS-CoV virus infected 2,494 people and killed 858 (34.4 percent).

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