The Economic Consequences of COVID-19

The debate about how many lives were spared by stay-at-home policies enacted to “flatten the curve” and fight back against the COVID-19 pandemic will likely rage for years to come.

However, the devastating effects the effective shutdown has had on the U.S. economy and the health and well-being of Americans will be undeniable.

By early April, it became very apparent that the economic future of the country is extremely grim. As the pandemic rages, the country’s unemployment numbers are projected to be far worse than they were during the Great Depression, which is viewed as the end-all, be-all of U.S. economic downturns. And a bailout with freshly printed money won’t fix that.

I agree with Michael Burry, MD and economist.

“Lockdowns intended to contain the coronavirus pandemic are worse than the disease itself,” he said. “It bleeds deep anguish and suicide.”

Ultimately, there are only two solutions to COVID-19 and the ripple effects its orchestrated throughout the U.S. and global economies – a vaccine, which is not expected to be ready for widespread availability at any point in the near future, and herd immunity.

Lockdown is only intended to “flatten the curve,” not act as a long-term solution.

Having celebrated 61 birthdays, I am thankful that the virus mostly spares the young. As a parent, I am willing to sacrifice for my kid and future grandkids.

This is a time for shared sacrifice. I call on politicians to lead by example and take a deep pay cut, as my company officers and I have here at ARC. At ARC, no one has been laid off. Bills are paid and everyone is working safely, cashing pay checks and supporting the economy.

It is time to get back to work, restart the economy and start the healing.

– Dan Allford, President, ARC Specialties