A pandemic causes always problems to the economical situation

A pandemic causes always problems to the economical situation

The pandemic and its economic effects are a very big thing

In the real world, everything affects or interacts with other actors, and if a large number of hotels would face bankruptcy that thing might have a larger-scale effect than we ever thought. The problem with tourist areas is that the hotels are always under construction and repair. That means that the large-scale money of that free time industry is always connected to those projects. Tourists need always something new and that's why that industry invests always big money on new projects.

If the tourists are not coming, that causes that hotels would face bankruptcy. Then that thing makes domino-effect, that the restaurants and other service entrepreneurs, what are selling their services to hotel quests would face things, that they cannot maintain their business. And then the result would be the end of that business in some area, which means very big social and economical problems that are appearing in the form of unemployment and everything, what is connected to that thing.

What would be the effects of coronavirus to the economy of the world?

When hotels are closed and people have better things to think than stock marketing, we must realize how great effect things like pandemic have on to the worldwide economical situation. Economics is the thing, that keeps wheels on a roll, and if people must stay at home that causes problems for the entertainment and free time industry. There are many areas on the Earth, what lives because of tourism, and if the tourists are not coming, that means catastrophe to those areas.

If the restaurants are facing bankruptcy, those areas cannot guarantee the service for tourists, and that thing means that the areas that are addicted to tourists are facing economical falling. In those areas would be problematic to find new tourists, if they are gone to some other places. This is the problem with the tourists as the industry.

Things like pandemics, what are causing the end for traveling, that thing causes that people would stay home in the best tourism season, and there is a possibility that they are finding new hobbies when those people are not coming to some areas. And what effect on that kind of thing would have?

If we are thinking about the situation that the hotels were sure, that they have a certain income every year, that thing would cause that some banks would offer funds in the many hotel investments. And if those hotels would face bankruptcy that might mean that some banks, where those hotels have been loyal customers, would face very high-level bad debt because of the investments, that are funded by credits cannot be paid back.

In this case, the thing, what that country can face is the bank crisis, and that needs more money from somewhere. The thing is that if the business composition in some area is homogeneous, which means that if in this particular business structure would be targeted massive crisis, where the calculated incomes are much higher than real incomes, that can cause the massive economical effect, what means that the entire tourist areas must be closed.

Is there anything good in this case?

When we are thinking about the natural environment, the loss of funding would target straight to the infrastructural investments, which means that the sewer system and other things like ecological energy would lose investments. This might mean pollution and increase the speed of warming of the planet.

But if this pandemic causes the number of customers of the airlines would be dropped and the number of flights per year might be decreased, that thing can cut the carbon dioxide emissions. And maybe the money would be invested in the super-fast trains, which are an economical way to transport a large number of people for a long distance if those trains and routes are planned properly.

Image: https://upload.wikimedia.org/wikipedia/commons/thumb/d/da/The_Parthenon_in_Athens.jpg/300px-The_Parthenon_in_Athens.jpg

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