Panic buying might help support the economy if CoronaVirus dies out.

Discussion in 'Economics' started by morganist, Mar 8, 2020.

  1. morganist

    morganist Guest

    Panic buying might help support the economy if CoronaVirus dies out. There has been a lot in the news about how the spread of the virus will impact the economy, however so far it has led to a massive spending spree with shelves left empty in supermarkets. I not sure how much this emergency buying and stockpiling will help in the long term but surely it has led to an increase in demand of certain goods. The medical industry and the food industry will be getting bumper demand and competing buyer prices, any thoughts?
     
    murray t turtle likes this.
  2. I disagree
    Sure PG CL CLX KR etc will have more demand for their goods.
    However those are very low priced items.
    Meanwhile expensive vacations, dinners, events are getting canceled left and right.

    Can’t make up for those big spending losses in hand sanitizer and bottled water.
     
    Scataphagos and Real Money like this.
  3. Turveyd

    Turveyd

    Not going to die out sadly, might get slowed down by the summer, but likely only in hot areas but it'll be back for the winter.
     
  4. heispark

    heispark

    People are over reacting. It's nothing more than a new flu. It'll go by the summer and people will forget about it quickly.
     
  5. smallfil

    smallfil

    There is actually, a whole lot of opportunities and new industries involved in healthcare will prosper. People will pay for anything that preserves their health. This too shall pass when a vaccine is put out on the market. Atleast, 12 companies are reported developing vaccines for the Corona Virus but, there will be other viruses and illnesses coming. Companies will develop new products and those companies will suddenly, be the most in demand in the stockmarket.
     
  6. morganist

    morganist Guest

    This is more how I see it. I think it will be a new flu like illness but it will stay and kill a few hundred thousand people around the world a year. The death rate is low and it only seems to kill old people. I think it will only become a serious high rate killer if it mutates, which it is starting to do but I think it will slow down.
     
    jys78 likes this.
  7. southall

    southall

    Only if we initiate lock downs like China and take it seriously. Italy has started lock downs. Other countries and the US may have to follow.
    Also self isolating helps, i dont think many people bother to do that when they have regular flu.

    If everyone were to treat it like nothing but a new flu and go about normally, then it has the potential to kill 1million in the US where flu kills just 60,000 a year.

    2 Iranian MPs already dead from this. If it hits your office at work, say there are 1000 people in your building. Then you are looking a several deaths in your building if people continued to come into work as normal.
     
    Last edited: Mar 8, 2020
  8. zdreg

    zdreg

    Correct, but psychologists, sociologists and economisst will have ammunition for books, papers and speeches for decades to come.
     
  9. %%
    That;
    + I remember CNBC false bird flu pandemic prediction.And the risk for the virus;[ 1] Lack of hand washing [2] those with compromised immune systems [3] old people.
    NOT that older Jack LaLane types were @ risk- he valued his health so he did some things...………………………………………………………………...
    QQQ is nicely above 200dma + up week DIA =up week, regardless of news nonsense/nothingburger.
     
  10. morganist

    morganist Guest

    There might be another issue, they might be covering up how many people are dying from the virus. I heard the death rate is 3.5%, however there are two strains and one is more leathal than the other. The other issue I pointed out is if it mutates it could become a more serious issue. This is the bigger problem, you don't suddenly want a strain with a 5 - 10% or more mortality rate but it could happen.
     
    #10     Mar 8, 2020