When we wrote When the Weak leads the herd back in March, we knew the economic impact of the lockout will be significantly greater than expected, while the “flatten-the-curve” epidemiological forecast was a blown-out alarmist scare.
Five months later, the results from containing the virus are poor when compared to how the rest of the world is doing. The economic disaster is ongoing, more severe and protracted than anyone had predicted.
Shutting down the economy was the wrong idea
The WSJ article Lockdowns are blunt, costly tool (Aug. 25th, 2020) makes some salient points.
“Prior to Covid-19, lockdowns weren’t part of the standard epidemic toolkit.
During the 1918–1919 flu pandemic…none imposed stay-at-home orders or closed all nonessential businesses. No such measures were imposed during the 1957 flu pandemic.
Lockdowns weren’t part of the contemporary playbook, either. The U.S. CDC in its 2017 community mitigation guidelines for pandemic flu, didn’t recommend stay-at-home orders or closing nonessential businesses… -WSJ
What is the REAL economic cost of the lockdown ? Is it a 8% shrinkage of the GDP this year ?
Well, is it ?
Study: Sales at San Francisco Restaurants Have Dropped By 91 Percent…Over half of SF’s restaurants don’t have any sales at all…
I suggest you look at your industry and the forecasts for your trade.
I may able to help small businesses in these trying times.
Phil, an owner of a bar, called me this week. His rent was 4% of his revenue pre-Covid revenue. Now his rent was crushing him. I told him we will lower it, and he’s paying nothing unless I am successful. No obligation. His rent came down 50% after I stepped on it.
Are you in the same situation ? Restaurant, bar, nightclub, fitness club, boxing/yoga/MMA studio, event venue (incl. movie theater) owner ? You will be forced to operate at 25–50% capacity even after you’re allowed to reopen… For the next 12 months perhaps ? For how many months ?
Let me know. I have skills second to none. But you got to make that call. Here’s how to reach me. THIS IS A LIMITED TIME OPPORTUNITY.