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I'm not so sure about the out of business part of it. Temporary closing sure. They may have to take on additional debt to get started again, but there will be
by enchiridion 7y ago
I'm not so sure about the out of business part of it. Temporary closing sure.
They may have to take on additional debt to get started again, but there will be huge demand once restrictions are lifted.
- astrophysician 7y agoYea agree about a demand surge when this is over, but I don’t think most businesses will be able to weather this well. Margins are usually pretty tight. A business already struggling will simply close rather than take out more debt amounting to the cost of months of revenue that they will have to figure out how to repay (even when rates are very low). It will hurt and it will hurt big time if this goes on for longer. So politicians are faced with an impossible choice: tank the economy with social restrictions or don’t and millions of people die and the hospitals are overrun, which will likely have its own economic impact. That’s a ramble, but basically I sincerely hope your optimism is correct here, but I am much more pessimistic. I think we will get through this but at a huge economic cost.