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Old 15 Mar 2020, 16:34 (Ref:3964353)   #4835
TheMightyM
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Originally Posted by fieldodreams79 View Post
I'm hopeful that the economy is strong enough to bounce back within a year. Of course, this depends on the damage and longevity.

To your larger point and one that is more on topic here (I guess it's ALL on topic, ATM), the first things to go and last to come back are the extracurriculars like motor racing. I think some people will be holed up, wanting their sports back, but sponsors may have been paying employees to, quite frankly, do nothing, which means not much left in the budgets....

What a mess it is.
I’m an economist by training. A couple of points to keep in mind as we all try to make sense of things going forward:

• Companies are reluctant to lay off workers and then later they are also reluctant to hire workers. The spike in unemployment comes at the tail end of a recession and only goes back down slowly — think years not months.

• Just In Time is a thing and company supply chains are often global. The virus is disrupting these supply chains, which leads to layoffs further up the production chain. It will take time even after the health issues are (mainly) resolved to get industries working again. Aside from the obvious employment impacts, this is why I’m worried about IndyCar’s ability to run a bunch races in short order this summer and fall. All it takes is some material or subcomponent supplier to go out of business or not be able to answer the bell and IndyCar has a short-tern sustainability problem…

• Even if the virus impact is relatively similar throughout the U.S. and Canada, the economic impact will vary considerably by industry and community.

Yes, it’s a mess…
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