Why The Coronavirus Recession Is Unlike Any Other

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Why The Coronavirus Recession Is Unlike Any Other 4.5

The coronavirus pandemic is putting an end to the longest economic expansion in U.S. history. Policymakers and economists warn this recession will be unlike any other downturn.

After expanding for a record 126 months as of December 2019, economists now predict GDP growth will plummet in the first and second quarters of the year as businesses shutter and hundreds of millions of Americans are locked down.

"This is a huge, unprecedented, devastating hit," former Federal Reserve Chair Janet Yellen told CNBC on Monday, adding she expects GDP to tumble 30% year on year in the second quarter.

Dire unemployment and growth forecasts have led some to compare the coronavirus downturn to the Great Recession from 2007 to 2009 or the Great Depression in the 1930s. However, policymakers say this recession is unlike any other in U.S. history because it was spawned by a health crisis, not by an unhealthy economy.

"I would point to the difference between this and a normal recession: There is nothing fundamentally wrong with our economy," Federal Reserve Chairman Jerome Powell told NBC's "TODAY" last month.

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Why The Coronavirus Recession Is Unlike Any Other

💬 Comments

I miss the time when people were fighting and bickering over Popeye's chicken sandwich

Author — David Park


As the financial crisis and recession deepened,
Measures intended to revive economic growth were implemented on a global basis .the UNITED STATES, like many other nations, enacted fiscal stimulus programs that used different combinations of government spending and tax cuts .

Author — Dakren Zibly


HAha "it's not the result of instability in the financial system".... come on, if you cannot even cover 2-3 months of loss of income, with stimulus packages from the government, and yet you have been buying back shares like a maniac for years and years instead of creating a properly funded emergency fund, all being propped up on debt debt debt, don't tell me this financial system was stable. A company that existed for 50 years should have at least 3 months of emergency funds in place. Instead, they went for greed greed greed and pleasing shareholders.

Author — Marks Piano - PGN Piano


this is a bad time to graduate. its already hard enough for me to find a job and this recession is gonna make its worse

Author — ChocolateHeartz


“It’s like being hit by a meteor”
The meteor:
The dinosaurs:

Author — Siege Villegas


Countries that heavily relies on tourism are gonna have the hardest ride.

Author — Mohd Khalid Khan


That one time in your life when you can show up at a bank or store wearing a mask and rob it without looking suspicious.

Author — SnoopyDoo


I think this pandemic has taught people the importance of multiple streams of income unfortunately having a job doesn't mean security. So I really appreciate your transparency and giving people a fighting chance during these troubling times.

Author — García Zulema


After seeing so many waiting in "bread lines, " does anyone really think people will rush out and buy that new car, or go on the next cruise ship? The party is over. It's over.

Author — Solotron


The economy was already heading for recession, this just sped everything up.

Author — Emma Renee


The thing that concerns me is that experts were already saying a recession would happen again this year or the next year, that was before this pandemic...

Author — Monkee Nez


"There is no fundamental problem with the economy?" OMG! These people are delusional! Printing trillions of dollars yet saying nothing is wrong is as good as daylight robbery

Author — lootster


Well imagine that! The economy relies on consumers. Best argument for trickle up economics I've heard.

Author — James Tarr


"It was spawned by a health crisis, not by an unhealthy economy"

¿por que no los dos?

Author — Nathaniel Ellingson


"Restaurant reservation down 100%"
WoW. Great journalism, who would've thought that reservations go down when you're closed

Author — Thor yL


The "economy" was crap for tue average workers for years before the coronavirus pandemic. Maybe it looked good from the top, but the stick market is not the economy for real people.

Author — Ginger Redshoes


“There’s nothing fundamentally wrong with our economy” That's funny because most economists were predicting a large recession back in 2019.

Author — klye sam


"Theres nothing fundamentally wrong with our economy" meanwhile people go into debt and usually never get out of it and the economic equality is nonexistent

Author — kleber salas


"Theres nothing fundamentally wrong with our economy "🤦‍♀️🤦‍♀️ these people think we are idiots!

Author — Femke Grundmann


It's so weird that we're seeing everyone's kitchens during this pandemic.

Author — J Lee