If we had to close half of the service sector, resta.urants, bars and other non essential congreg ations of more than a certain number of people, while airIines were under filled or unable to operate many of their routes, and wor k places and schools cIosed, how do things get paid? Especially if it’s worIdwide meaning goods and material trade slows down or stops.
In terms of things like loans, mo rtgages and wages, Is there a set understanding of what gets ‘paused’ and what is still expected to be continued?
In: Economics
Well, the good news is that loans and mortgages can be paused easily with little effort. When it’s just a matter of shifting money around, it’s not that big of an issue.
And much of the economic stimulus that is being put out is to ensure people can pay for their bills and rent and food while they’re stuck at home.
But I wouldn’t call this economic upheaval a “pause”. It’s a hard stop. When the restrictions get lifted, people will need to get back into work mode. Restaurants will need to restock supply. And shoppers will probably need to shift back into a mindset of wanting to go to leisure activities. Going out to a restaurant or movie theater or theme park will feel weird.
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