What will the recovery look like? That’s the question every economist is asking. As we continue battling the coronavirus pandemic, the answer will dictate how soon life returns to normal – and what normal actually is.
Economists often use “recession shapes” – commonly taking the form of letters from the alphabet – as a way to characterize recessions and their recoveries. V, U, W, L… …modern history provides plenty of examples of each of these types of recoveries. But what will the post-coronavirus recovery look like?
Will it be V-shaped, with the economy bouncing back as swiftly as it fell? Or will it be more like the Nike swoosh – a swift drop, with a long but straight road back to the top? Or maybe it will be like a rollercoaster, with plenty of hills and valleys to traverse before the ride comes to a stop. Click the button below to read more.