SLAUGHTER OF THE BUSINESS INNOCENTS

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Slaughter of business

Coronavirus’s danger to businesses and employees is dramatically greater than its health risks to the public. The effects of the virus are over-hyped by click-driven media and over responded to by politicians.

Of 78,824 cases in China, a relatively insignificant 2,788 died most of who will be the aged and ready to be scythed anyway by the Grim Reaper. In Europe, the toll is 3,421 (March 18). Again, most are those who were already waiting in God’s waiting room.

If the virus does impact on your life, it is most likely to be through stopping you going to work, forcing your employer to make you redundant, or bankrupting your business. This rather than the virus is what should really be giving us sleepless nights.

The trillions of dollars wiped from financial markets will be just the beginning, if governments do not step in.

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If they fail to respond as dramatically as they have to the virus, the casualties will run into the millions. We may look back on coronavirus as the moment when the threads that hold the global economy together came unstuck, and start-ups and growing businesses could end up paying the price.

Just as important as fighting the virus, if not more important, is vaccinating our economies against the incoming pandemic of panic. Human suffering can come in the form of illness and death. But it can also be experienced as not being able to pay the bills, worrying if you will have food tomorrow, or losing your home.

Small businesses in a particular struggle as supply chains dry up, leaving them without products or essential materials. Factory closures have led to a record low in the Purchasing Manager’s Index which measures manufacturing output.

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China is the world’s largest exporter and is responsible for a third of global manufacturing, so China’s problem is everyone’s problem, even in the midst of a trade war between the White House and Beijing.

All this makes it even more worrying that governments continue to see this as a health crisis, not an economic one. It is time the economists took over from the doctors, before the real pandemic spreads.

It is difficult to imagine Italy not entering a recession. The world’s ninth-largest economy is now on lockdown. It is also difficult to imagine that failing to affect Europe and its largest trading partner, the United States. And it is impossible to see how any of this will not add up to a global downturn, unless governments step in faster and harder than they did 12 years ago during the last financial crisis.

The stakes are higher this time, because there seems to be a coordinated effort to economically hurt many Western countries. Although China bore the brunt of the virus’s economic and human cost, many in Beijing will see a silver lining in the weakening of the US economy, and a distraction from the NATO West’s trade wars and anti-Russian sanctions that are escalating with no end in sight.

Almost perfectly synchronized with the coronavirus, a Russia-Saudi oil war has erupted. In the short-term, both Moscow and Riyadh can afford the 30 per cent overnight drop in the oil price. But America’s gas business cannot.

The more expensive process of fracking means that much of the US oil sector will simply not exist if oil prices stay at historic lows, leading to shutdowns, job losses and perhaps even state-level recessions.

MICHAEL WALSH was a top executive for the Guild of Master Craftsmen and Federation of Master Builders quality business associations 1987 – 2007. He is the author of THE BUSINESS BOOSTERLike this story? Share it with others.

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6 comments

  • Pingback: SLAUGHTER OF THE BUSINESS INNOCENTS | altnews.org

  • Indeed, the media hype here in the US has led to a kind of psychosis, at least with our government functionaries at all levels. Teh damage to the economy is going to last a long time and is going to hurt most everyone. With prior epidemics and even pandemics, there was not this level of hysteria. One wonders if the media went into overdrive with this virus once impeachment failed, and the ultimate goal is to make Trump lose the election. Very troubling.

    And, then recently some talking heads started saying that this “shelter in place” for weeks at a time may become the new normal. If that happens, there will be serious social unrest. Food riots and burning cities. It is mass psychosis, sorry to say.

    Liked by 2 people

  • geraintpendragon

    This is the first media driven pandemic. My head is swimming from all the ‘experts’ advising to me wash my hands, self-isolate, and the like. According to statistics approx 200,000 people worldwide have contracted the virus of whom a relatively small number of elderly and vulnerable people have succumbed to the effects. In the ‘Spanish Flu’ epidemic at the end of WW1 it is said that anything between 20 million and 100 million died. Yes, if you have underlying medical ailments it is sensible to take precautions, but has that not always been the case? Perhaps, I’m becoming more and more cynical with age.
    At the moment, there is a growing panic to stock-up with essentials lest food supplies run out or martial law is enacted forcing everyone to stay indoors. Food supplies run out! Less than a month ago there was an ‘expert advisor ‘to PM Johnson advocating the abondonment of farming and fishing in the UK as it wasn’t needed as there was plentiful food worldwide.
    Anyway, if you don’t hear from me again then either I’ve succumbed to the virus or died of starvation.

    Liked by 2 people

  • The more this thing goes on the more I believe that it is engineered panic. What the motivation behind it is we can’t say yet but perhaps the inevitable bursting of the financial bubble was something that the public attention needed to be distracted from. The virus itself is in no way a pandemic. More people die every year from the flu and many more die from TB. No panic for that. The media are certainly greatly to blame for stirring the public into hysteria, but of course they would have been directed to do that. Perhaps they are resetting the financial system because the damage to the world economy as it stood is enormous so far. No doubt, the authorities will use the panic to increase their control and reduce our liberties. There is also some sinister association with the roll out of the 5g system. One thing that we can be sure of is that we are not being told the truth.

    Liked by 2 people

  • Tens of thousands of people die from the flu every year, and no one panics. Over 60,000 Americans died of the flu in the 2019 flu season and over 80,000 Americans died of the flu during the 2018 flu season. That computes to more people dying from the flu—just in America in one month alone—than have died from corona in the entire world to date.Why don’t they tell us that 80% of people who contract corona show only “mild” symptoms?
    The coronavirus or any other “emergency”—real or imagined—does NOT negate the Constitution and Bill of Rights in any country. Big Government, Police State policies that are starting to take root will be with us a long time after the coronavirus is gone. We have far more to fear from Big Government tyranny than we do from any virus. Follow the money….who is profiting from the virus?

    Liked by 1 person

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