Expect a Severe Depression if Quarantine lasts for over 6 Months

The sudden economic stop caused by COVID-19 will have a lasting effect on the Economy and will be felt by almost every American.

A recession is two consecutive quarters of economic contraction, and or gross domestic product declining year-over-year. AN ECONOMIC depression is a GDP decline both severely deep and lasting for a period of several years.

“If the quarantine lasts more than six months then we are looking at economic depression,” said David Meyer The coronavirus crisis is exposing how the economy was not healthy as it seemed – washingtonpost.com

It is not speed that kills, it is the sudden stop, the sudden stops have a real economic impact: GDP falls on average 4% @ voxeu.org

Many are looking to China, as to how the U.S might end up after the Quarantine is over. In China Retail sales, a key metric of consumption in the world’s second-largest economy, fell by 20.5 percent , again the first decline on record. This was well below the median forecast of a group of analysts, conducted by Bloomberg, which predicted a 4.0 percent contraction.

The Lockdowns to control the coronavirus proved to be a constraint to economic growth, but with China now in recovery, data suggests @ scmp.com

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