Question

In: Economics

What are the changes in the economic and social life after the covid 19 outbreak?

What are the changes in the economic and social life after the covid 19 outbreak?

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Expert Solution

For many Americans right now, the scale of the coronavirus crisis calls to mind events of 9/11 or the financial crisis of 2008 that reshaped society in lasting ways, from how we travel and buy homes, to the level of security and surveillance we 're used to, and even the language we use. Maybe for months, a global, novel virus that keeps us contained in our homes is already reorienting our relationship to government, to the outside world, even to each other. Some changes these experts expect to see may feel unfamiliar or disturbing in the coming months or years:

COVID-19 will sweep away many of the technological barriers to transferring more of our online lives. Of course not all can become interactive. But in other areas of our lives, taking on truly valuable online resources has been slowed down by powerful institutional players, mostly working in partnership with overcautious bureaucrats The resistance led by teachers' unions and politicians obeying them to allow partial homeschooling or online learning for K-12 kids has been swept away by need. In the fall, placing the genie back in the bottle would be almost difficult, with many families discovering the they prefer full or partial homeschooling or homework online.

And while not every job can be completed remotely, many people know that the difference between putting on a tie and driving for an hour or working efficiently at home has always been just the opportunity to download one or two apps plus their boss's permission. Once businesses figure out their remote work dance moves, it will be more difficult-and more costly-to refuse these choices to employees.

The pandemic will shift the paradigm of where our delivery of health care occurs. Telemedicine has lingered on the sidelines for years as a high-convenience, cost-controlling system. Needless to say, remote office visits could skyrocket in popularity as the pandemic overwhelms traditional-care settings. This shift would also have containment-related benefits; staying at home for a video call keeps you out of the transit system, out of the waiting room and, most importantly, away from patients in need of critical attention.

Private pharmaceutical companies will simply not prioritize a vaccine or any other countermeasure for a future emergency in public health until its profitability is assured, and that is far too late to prevent mass disruption. The reality of fragile supply chains for active pharmaceutical ingredients coupled with public outrage over patent abuses that limit the availability of new treatments has led to an emerging bipartisan consensus that the public sector needs to take far more active and direct responsibility for the development and manufacture of medicines.


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