Socioeconomic Impact Of COVID-19 On Global World

Overview

The coronavirus pandemic which was first detected in China, has infected people in 187 countries. As of 2 May 2020, more than 3.35 million cases of COVID-19 have been reported in 187 countries and territories, resulting in more than 238,000 deaths. More than 1.05 million people have recovered. Its spread has left businesses around the world counting the costs.

Here we discuss the impact of this virus on Socioeconomic activities.

Social impact

The coronavirus pandemic has far-reaching consequences caused the largest global recession with more than one-third of global population being placed on lockdown.

Educational Institutions:

The pandemic affected educational institutions and data released by UNESCO on 22 march, school and university closures due to COVID-19 were implemented nationwide in 165 countries including localized closures, this affects over 1.5 billion students worldwide, accounting for 87% of enrolled learners. In response to this pandemic, the institution decided to moved online learning via a platform like zoom. But unequal access to technology is an obstacle for students in rural areas. The pandemic negatively impact the growth and development opportunity of students by closing the school.

Impact on Income:

Low-income individuals are more likely to contract the coronavirus and to die from it. Hypotheses for why this is the case include that poorer families are more likely to live in crowded housing and work in low skill jobs, such as supermarkets and elder care, which are deemed essential during the crisis. In the United States, millions of low-income people may lack access to health care due to being uninsured or underinsured. Many low-income workers in service jobs have become unemployed.

Religious Obligation:

The pandemic has also impacted on religious activities in various way including the cancellation of worship of various faiths and festivals. Many churches, synagogues, mosques, and temples have offered worship through live stream amidst the pandemic.

Economic Impact:

Coronavirus recession refers to an economic recession that may happen across the world economy in 2020 due to the 2019–20 coronavirus pandemic. Many countries with large economies, such as China, Italy, and Spain, have enacted quarantine policies. This has led to the disruption of business activities in many economic sectors.

On 24 February, the Global stock market fell due to significant rise in CVOID19 cases outside the mainland of China and stock market saw their largest single week worldwide after 2008 financial crisis. The Global stock market crashed in March 2020, with falls of several percent in the world's major indices.

The pandemic has severely affect Financial markets, including stock, bond and commodity (including crude oil and gold).The United Nations Development Program expects a US$220 billion reduction in revenue in developing countries and Russia–Saudi Arabia oil price war resulted in the collapse of crude oil prices and crush the stock market in march 2020.

The pandemic has also affected the manufacturing sector resulting in a 40% decline in U.S. vehicle sales, three big American factories shut down and Germany the automotive industry also suffered from a crisis.

The art, entertainment and sports program had been closed or postponed. In countries such as Australia, where the arts contributed to about 6.4% of GDP, effects on individuals and the economy have been significant.

The pandemic has impacted the film industry. Across the world and to varying degrees, cinemas have been closed, the global box office dropped by billions of dollars, while streaming became more popular and the stock of Netflix rose; the stock of film exhibitors dropped dramatically.

The 2019-20 coronavirus pandemic has impacted the restaurant business.

The pandemic has impacted on tourism by limiting the travel through quarantine restrictions, fear of airports and other places of mass gathering, fears of illness abroad, issues with cross-border medical insurance, tourism enterprise bankruptcies, tourism industry unemployment, airfare cost increases damage to the image of the cruise industry.