Question

In: Economics

write an article about The Effects of Corona Virus on International Trade The article must be...

write an article about The Effects of Corona Virus on International Trade

The article must be 1500 words at least.

The main text body consists of the sections (with no limit for the number of pages) specified below

: - Introduction - Other sections (depends on you) - Conclusions - References

Solutions

Expert Solution

Conora virus came into existance at dec 2019 from china and at january it takes whole world into a rush.it infect through droplets so if people came into close contact then it has a higher chance of infection.although the death rate is very low due to covid-19 but it infection rate is very high.so it has a huge impact on all the country's trade.as all the country declares lockdown that means noone can go out of the country and anyone can go outside of the country.also all the people have to stay home due to precaution.

All these things destroy the international trade chain.as all the country declears lockdown then all employee must have to stay home as there is a higher chance of infection outside.so the production process stopped.all the factories and multinational firms stops production.and as noone store a huge stock then it has unable to supply after a certain periods of time.on the othe hand as all the communication system has been stopped them workers and employees are not able to reach their working places.although work from facilities available but all workers can't do his work from home.like a driver of private transport can't work from home.also physical labour needed at working places to bring raw materials,start production,operating mechinaries, assemble products etc can't be done from home.on the other hand the raw materials are not produced by the firm itself.it has to be bring from other sources or other industries and sometimes from other countries also.so as large portion of transport are not available then it is impossible to firms to bring raw materials.also many firms used other firms final product as raw material then it is impossible to produce anything for firm due to lack of the materials and workers also.on the otger hand all the market places,malls are closed in this time region then the demand fir the finished products are also dimished drastically.after lockdown individuals are becoming to their busy lifes slowly but not all the situations are the same as compare to the pre lockdown situation.after lockdown almost all the people's income falls near to zero.so they only consume essential things not the durable goods and other consumption goods whose consumption can be postponed.now trade are not safe according to the many countries so they try to less international trade than before.and the economic situation of all the country is not so good all the share markets of respective countries are not stable then it has also a impact on international trade.as production is not profiable as before then all the firm decrease production.and all the firms are incur a huge loss during this situations so many small industry are closed as it is not profiable to produce anymore and they can't revive from that loss.so those small industry has a large portion of international trade so after shutdown those industry international trade affect too much.

As the time passes we are now used to with corona virus and slowly but steadily we are becoming life easy.so as international trade has to take time to improve but we can surely recover this pandamic situation.


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