Economic historian Dr Stephen Davies outlines the profound and lasting effects of the coronavirus in a new video from the Institute of Economic Affairs – GOING VIRAL: The history and economics of pandemics.
Dr. Davies – Head of Education at the IEA – says history suggests the pandemic will last up to two years and come in a series of waves – with the second wave likely to be the biggest and most damaging.
Likely economic outcomes include massive falls in GDP, much higher inflation and a massive debt crisis accompanied by a significant revaluation of assets – and a retreat from globalisation and economic integration. At the same time, creativity and adaptability will lead to innovation and the intensification of trends such as online shopping and working from home
GOING VIRAL is accompanied by a report out today, outlining a number of steps that could mitigate future risk. You can read it here: iea.org.uk/publications/going-viral