It does not take an economist to state that a complete 21-day social and economic lockdown of India will have a severe impact on the supply side of the economy, such as the production and distribution of goods and services, except for the essential items that are excluded.
In an economy that is already reeling under a demand crisis, rising unemployment, a decline can be seen in manufacturing production and income. At this point of time, all of them are now occurring together for many quarters, a supply-side restraint will deliver a major blow to a large number of citizens, jeopardizing prospects for growth and social and economic well-being.
The blow to individuals and companies may have been greatly reduced but it is also struggling due to lack of foresight, preparation, and strategies. It would have saved the government too from a wild scramble.
The shutdown of planes, trains, and bus services had forced people to rush into airports, railway stations, and bus stands, allowing social distancing ridicule again. It had a different effect. Inter-state migrants have been seen walking hundreds of kilometres to their homes with women and children in tow because there was no transportation and no work.
Earlier for several daily wagers, there was no food or money to purchase the food. But for now, in Delhi, thousands of daily wagers crowd shelter homes set up by the government to provide them with food and requesting them to make social distancing once again. Business Today estimated approximately 300 million informal workers could be vulnerable and seek assistance.
The social and economic condition in India would be impacted to a great extent. All we can do is do our bit by adhering to the precautionary measures and help the government condemn the spread of this deadly pandemic. Let’s make sure that we are in this together.
In an economy that is already reeling under a demand crisis, rising unemployment, a decline can be seen in manufacturing production and income. At this point of time, all of them are now occurring together for many quarters, a supply-side restraint will deliver a major blow to a large number of citizens, jeopardizing prospects for growth and social and economic well-being.
The blow to individuals and companies may have been greatly reduced but it is also struggling due to lack of foresight, preparation, and strategies. It would have saved the government too from a wild scramble.
The shutdown of planes, trains, and bus services had forced people to rush into airports, railway stations, and bus stands, allowing social distancing ridicule again. It had a different effect. Inter-state migrants have been seen walking hundreds of kilometres to their homes with women and children in tow because there was no transportation and no work.
Earlier for several daily wagers, there was no food or money to purchase the food. But for now, in Delhi, thousands of daily wagers crowd shelter homes set up by the government to provide them with food and requesting them to make social distancing once again. Business Today estimated approximately 300 million informal workers could be vulnerable and seek assistance.
The social and economic condition in India would be impacted to a great extent. All we can do is do our bit by adhering to the precautionary measures and help the government condemn the spread of this deadly pandemic. Let’s make sure that we are in this together.
