WORLDWIDE ECONOMIC RECESSION
The International Monetary Fund (IMF) has stated that the whole world will be going to experience the worst economic recession in 2020.
Economic Recession means that when the growth rate of a country becomes negative so that country suffers from the economic recession.
Effects of Recession
This recession will effect in these-
Economy– Though the countries have announced the economic relief packages to safeguard their growth rate from declining any further. But this pandemic has created the situation of recession in the economic growth of countries at the global level.
The super power country will also be effected from this recession.
Many of the companies have followed the concept of WORK FROM HOME technique so that their employees can perform their work by staying at their homes, but many of the industries are unable to follow this concept because their work cannot be performed by staying inside.
Few industries which are unable to follow this concept were
- Sport Industry
- Film & Entertainment Industry
- Aviation Industry
- Supply Chain Industry
Many sports events were postponed or even canceled due to this crisis because a single event includes thousands of spectators and their gathering is not possible in the lockdown. Olympics, IPL ISL, etc were postponed due to this pandemic.
Jobs- The whole country is under restrictions so many of the people have become unemployed because of the restrictions imposed by the Government to follow this lockdown with the main motive is to break the chain spreading the infection.
The employees who are working in a decent company are able to work from home because of the availability of resources like Laptops, Internet access, technical skills. But the employees who are working at a lower level like factory laborers, drivers, etc are completely unemployed and they don’t even have good academics or the skills so that they can use it at other places.
During the production of a movie, hundreds of people’s are connected in this profession and they perform their work and duties as per the instructions given by the producers and director, but due to this lockdown, all these people’s like makeup artists, costume designers, background crew, lineman, spot boys, and other staff have become jobless in this pandemic. Eventually, this virus has swallowed the jobs of lower-level workers and this issue can also be experienced the same in Theme Parks, Restaurants, Movie Theatres, etc.
Study– The corona had also affected the studies of millions of students because they are unable to go to their institutions. While some of the institutions have used the technology by using the concept of Online Classes in order to bridge the gap between the students and teachers for study purposes, but still many of the students are facing lots of issues.
In a few areas, this pandemic had created a positive impact also. Due to the lockdown, no one is allowed to go here and there, so the people have started using technology at much higher rates and the growth rate of few applications like Skype, Google Hangouts, Google Duo, Zoom App, Instagram had rapidly increased. For entertainment purposes people are watching YouTube, Netflix, Amazon Prime for a higher time as expected by the companies and their revenue has drastically increased. Lots of users are using mobile gaming applications like PUBG, Ludo, Pool, etc in order to spend their time with their friends and family.
Though this virus has affected the online entrainment industry in a positive way it has also ruptured the economy of all the countries and all of them must need to come up with better tactics in order to counteract this recession.