Wednesday, March 25, 2020

Trump wants America reopened by Easter. That could send the US economy into depression

But there are massive risks involved with quickly reversing the social distancing policies. Not only would a premature re-opening of the economy defy the advice of health experts, but economists warn it would backfire.
Instead of a one-time blow, the economy could face repeated shutdowns over a prolonged period. 

"If the president decides to go 180 on us and open by Easter, that will create chaos and confusion. That is the prescription for a depression," Mark Zandi, chief economist at Moody's Analytics, told CNN Business. 

"If people are panicked because hospitals are overflowing and loved ones are dying, the hit to the economy will be even worse than if we remain in lockdown," said Zandi, who advised Republican presidential nominee John McCain in 2008. "It's a massive gamble -- and one without science on his side."

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