Reopening the US economy is going to be a slow, painful process and nothing like turning a light switch back on. Economic activity and employment is going to be down significantly for a while. If there’s any good news for workers it’s that the economic activity that does occur will be more labor-intensive than it was before the coronavirus dealt such a huge blow to the economy. We’re used to the past couple of rebounds from recessions being jobless recoveries, but this one wi

With death rates beginning to peak in Western countries, the epicenter of the novel coronavirus crisis is moving toward the developing world. Yet bare hospitals, armies of informal workers and sprawling slums mean the poorest nations have struggled to pull down the shutters. Experiences in Asia and elsewhere suggest that limiting chaotic mass migration to rural areas can be a start. Throw in cash handouts and a concerted effort to educate and inform, and efforts to contain the virus begin to loo

A bond deal by South Korea’s biggest airline showed that while carriers pummeled by the coronavirus pandemic can still sell debt, they will need to pay a steep price. The fee Korean Air Lines paid underwriters to issue won notes jumped to a record 1.157percent, four times what it was charged in a similar deal in September. And an unusually numerous 15 sales managers took part in the offering this week of 600 billion won ($490 million) of debt backed by sales of future passenger tickets, a

Crises such as wars, depressions, natural disasters and pandemics can reveal differences in how effectively a society organizes itself. In the 1600s and 1700s, for example, Britain’s more advanced tax system allowed it to outspend Spain and France, while Prussia’s efficient army let it overcome larger opponents such as Austria. In the American Civil War, the Union’s industrial prowess allowed it to outlast and overwhelm the agrarian Confederacy. Pandemics aren’t quite th

Since the outbreak of the coronavirus pandemic, some democracies around the world have used technology to avoid having to impose draconian mass quarantines that were common earlier this year in China. That’s reassuring -- and it’s also worrying, because the very strategies that can help fight a plague can also be abused once it’s over. Consider Taiwan, where an “electronic fence” allows local police to make regular phone calls to everyone who is home under quaranti

Measures to contain the spread of COVID-19 are upending every corner of economic life, bringing entire industries to a standstill across the world. What happens in the broader economy has a massive impact on the banks that oil its wheels; and financial regulators have -- rightly -- responded swiftly. The supervisors should ponder their next moves carefully, however. It is essential to soften the blow of companies and people not being able to repay their debts, as income evaporates. Lenders will

Is New York City the new Wuhan? In a matter of weeks, the city of 8.6 million has become the epicenter of the coronavirus outbreak in the US, with more than 23,000 cases and 365 deaths. Until a statewide lockdown was instituted Sunday, New Yorkers were getting mixed messages about whether (and how) they should get tested, remain in self-isolation, take public transportation or gather in groups. With the state woefully short of supplies, Gov. Andrew Cuomo and Mayor Bill de Blasio are jockeying fo

Since 2016, when Prime Minister Narendra Modi announced at a prime-time television address that he was withdrawing most of India’s currency overnight, such speeches have been preceded by wild speculation. Modi’s message on Tuesday evening was even starker than most expected. From midnight, this country of 1.3 billion will shut down: “For 21 days, forget what going out means.” Modi is one of the world’s most accomplished politicians, a man who has demonstrated time

Pummeled by the coronavirus, China Inc. now faces another disruption: a global shortage of dollars. Chinese companies are looking at $120 billion of debt repayments this year on their US dollar denominated debt. Real estate developers and industrial companies make up three-quarters of the outstanding $233 billion of junk-rated bonds. There’s another $563 billion of higher-rated debt. The question isn’t just whether they’ll be able to pay their debt. It’s worth wondering

When my local supermarket opened for business at 6 a.m. the other day, I had my plan of action in place. The instant the door was unlocked, I hurried to the pharmacy aisle, where I found, to my surprise and delight, three bottles of rubbing alcohol. But now I faced a puzzle. Should I play homo economicus and buy them all? Should I follow the Lockean proviso and leave as much and as good in common for others? Torn by competing priorities, I bought two of the three bottles, leaving the third for

For much of the world, oil wealth is a curse. Endowed with ample reserves of hydrocarbons, the likes of Nigeria, Angola, Kazakhstan, Mexico and Venezuela frittered the benefits away. Only in the Persian Gulf has oil been a nation-building blessing. The discoveries of petroleum in the mid-20th century turned an anarchic, desperately poor region into one of the most affluent places on the planet. Qatar, Kuwait and the United Arab Emirates are all richer than Switzerland. Even Saudi Arabia, Bahrai

It would be charitable to describe the federal government’s response to the coronavirus pandemic as sloppy and uncoordinated. Thankfully, there is a model for an epic national comeback. It dates back to the weeks following the attack on Pearl Harbor in late 1941, when President Roosevelt created the War Production Board, one of the most dynamic public-private partnerships in history. The US entered World War II woefully unprepared. It possessed staggering economic power, but almost none

Christine Lagarde warned European leaders last week that the COVID-19 epidemic risked pushing the economy into a new 2008-style crisis. So far, the response from politicians to the president of the European Central Bank has been late and insufficient. The elements for a comprehensive response are clear: Governments should unleash a large-scale fiscal stimulus, while the ECB launches a credible and sizeable bond-buying program to ensure there is no adverse market reaction. The euro zone may even

As global supply chains break, airlines slash flights, borders rise within nation-states, stock exchanges convulse with fear, and recession looms over economies, from China to Germany, Australia to the United States, we can no longer doubt that we are living through extraordinary times. What remains in question, however, is our ability to comprehend them while using a vocabulary derived from decades when globalization seemed a fact of nature, like air and wind. For the coronavirus signals a rad

Like the eye of a hurricane, the epicenter of coronavirus disease COVID-19 has shifted from Asia to Europe, bringing with it a rising toll of infections, deaths and economic damage. After a messy few weeks in which the region’s leaders seemed incapable of hitting on a common response to the crisis -- which has hit health care, consumer confidence and financial markets all at once -- last weekend marked a turning point. France and Spain announced draconian steps, similar to those seen in v

First the NBA postponed its season, with no immediate resumption in sight, and then March Madness was canceled. Broadway has been shuttered, along with other public entertainments across the country, Disneyland included. These are prudent if belated steps. Nonetheless a question arises: If every empire needs bread and circuses, where will Americans turn for the latter? Which public spectacles will keep us all distracted? One obvious response is the internet. For younger generations especially,

Hospitals often speak of what’s called “surge capacity” -- the ability to absorb a sudden influx of patients because of a terrorist attack, a natural disaster, or even, yes, a pandemic. Given the possible influx of patients sickened by the new coronavirus, how much of a surge can U.S. hospitals accommodate? Not as much as you might think. For years, cost-conscious hospitals have emulated the lean, just-in-time principles that have revolutionized manufacturing. The result has b

Hong Kong has fewer coronavirus cases than the US, Singapore or Italy. That might seem surprising for a city that sits on the doorstep of mainland China and has intertwining business, tourism and personal connections with the source of the epidemic. The reason can be summed up in one word: SARS. The outbreak of severe acute respiratory syndrome in 2003 sowed extreme caution in Hong Kong, a former British colony that had returned to Chinese sovereignty six years earlier. The city, which maintain

It is the flow of people, as much as money, that keeps the global economy ticking over. It follows that a sudden halt to the movement of workers, shoppers and tourists should worry us just as much as the drying up of credit during the global financial crisis in 2008. With fewer obvious quick fixes, the virus outbreak should perhaps concern us even more. A little over a decade ago, it was the US housing market that soured. Investors lost confidence after years of unbridled lending and poor regul

If you’re raining cash on people and want them to spend it, you have to convince them that the benevolence is being financed by printing money. Nobody wants to worry about being taxed more in the future. These things are going to be problematic for Hong Kong Financial Secretary Paul Chan. He plans to give away 10,000 Hong Kong dollars ($1,285) to every adult permanent resident to blunt the economic impact of the coronavirus, but since he can’t conjure money at will, he’s bein