THE INFLUENCE OF CORONAVIRUS INFECTION ON THE GLOBAL ECONOMY: SOCIAL AND ECONOMIC CONSEQUENCES

The COVID-19 coronavirus pandemic seriously affects the world economy: it became a challenge for the world economy and the institutes of global economic regulation. This paper considers possible social and economic consequences of the COVID-19 coronavirus pandemic for the world economy, analyzes the incidence of this infection in the countries of the world, and examines the COVID-19 impact on employment and personal incomes, on the loss in the global GDP. The study identified that the COVID-19 would most seriously influence the loss of revenues of the population and the growth in the number of poor people, the increase in unemployment in some industries, such as in the service industry. At the same time, the development of online technology and artificial intellect became promising areas. The author proposes the ways to reduce social and economic consequences of coronavirus pandemic on the global economy, which are based on the provision of national medical services with the sufficient amount of public funds; the adoption or strengthening of targeted measures to support individuals (for example, self-employed), companies, and local communities; the provision of macroeconomic insurance as the targeted measures will not cover many of the secondary consequences of social and economic shock. The paper concludes that COVID-19 can influence the global economy in three ways: directly affecting production, creating a supply chain, and violating market relations, as well as financially affecting firms and financial markets. However, much depends on the reaction of the public to this disease.

COVID-19