Commentary: Rushing to reopen economy could be a disaster - Insurance News | InsuranceNewsNet

InsuranceNewsNet — Your Industry. One Source.™

Sign in
  • Subscribe
  • About
  • Advertise
  • Contact
Home Now reading Newswires
Topics
    • Advisor News
    • Annuity Index
    • Annuity News
    • Companies
    • Earnings
    • Fiduciary
    • From the Field: Expert Insights
    • Health/Employee Benefits
    • Insurance & Financial Fraud
    • INN Magazine
    • Insiders Only
    • Life Insurance News
    • Newswires
    • Property and Casualty
    • Regulation News
    • Sponsored Articles
    • Washington Wire
    • Videos
    • ———
    • About
    • Meet our Editorial Staff
    • Advertise
    • Contact
    • Newsletters
  • Exclusives
  • NewsWires
  • Magazine
  • Newsletters
Sign in or register to be an INNsider.
  • AdvisorNews
  • Annuity News
  • Companies
  • Earnings
  • Fiduciary
  • Health/Employee Benefits
  • Insurance & Financial Fraud
  • INN Exclusives
  • INN Magazine
  • Insurtech
  • Life Insurance News
  • Newswires
  • Property and Casualty
  • Regulation News
  • Sponsored Articles
  • Video
  • Washington Wire
  • Life Insurance
  • Annuities
  • Advisor
  • Health/Benefits
  • Property & Casualty
  • Insurtech
  • About
  • Advertise
  • Contact
  • Editorial Staff

Get Social

  • Facebook
  • X
  • LinkedIn
Newswires
Newswires RSS Get our newsletter
Order Prints
April 17, 2020 Newswires
Share
Share
Post
Email

Commentary: Rushing to reopen economy could be a disaster

Canton Repository (OH)

The staggering economic consequences of the social distancing edicts adopted across most of the nation last month have led to a vigorous debate over whether, to use President Donald Trump's term, the "cure" for the COVID-19 pandemic is worse than the virus itself.

This story is provided free to the community to keep readers informed about coronavirus. | If local news is important to you, please consider a digital subscription. Just 99 cents for one month!

With more than 16 million Americans seeking unemployment benefits after losing their jobs in recent weeks, the argument is worth having. The groans were loud and on point when New York Gov. Andrew Cuomo declared last month that if "everything" state government did saved "just one life," the edicts would be worth it. Nearly 1 million New Yorkers have filed for unemployment since nonessential businesses were shuttered to slow the virus' spread. Increasingly, skeptics note the harsh health toll of economic anxiety, including its role in increasing suicide. If Cuomo's standard is the norm, how could any state allow motorcycles? Skydiving? Cliff climbing?

By Monday, announcements by Trump and two of his frequent adversaries -- Cuomo and California Gov. Gavin Newsom -- made clear that they are all eager to end the restrictions and accept some risk by limiting social distancing before too long. California, Oregon and Washington will sync their efforts. New York, New Jersey, Connecticut, Delaware, Pennsylvania and Rhode Island are coordinating their responses as well.

The big question, of course, is when. Two others are: Are these leaders and members of the newly named White House task force on reopening the economy getting ahead of what experts think? And is there a chance that the decisions made going forward will backfire spectacularly?

I'd argue that the answers are yes and yes.

There is some genuinely excellent news for Californians. The University of Washington computer model that's been touted for its insights into the pandemic suggests the crest will peak in California this week and that COVID-19 deaths and new coronavirus cases will begin to decline in the Golden State. And Newsom's first-in-the-nation stay-home edict on March 19 may save him from the ignominy he would have deserved for trusting Trump to help California and other states as vigorously as a normal president would have.

But the consensus of a dozen economists interviewed by the New York Times about the idea the economy could be back to normal by early summer was that it reflected "at best mildly informed guesses" by political leaders.

And history has daunting lessons for policymakers. Until there is a vaccine for coronavirus, it will remain something that spreads quite readily from person to person, and the spreaders will often be asymptomatic and unaware of the danger they pose. In history's worst pandemic -- the Spanish flu apocalypse of 1918-1919, which infected one-third of the planet and killed 50 million people -- public health authorities twice believed they had controlled influenza only to see it come roaring back. Both the second and the third waves of Spanish flu were far more deadly than the first.

There is a good reason to think that won't necessarily happen with coronavirus in the United States. But that reason also shows why reopening public life isn't anything like flicking an on/off switch on the economy.

It's that Americans -- who are far better informed and much more prosperous than they were a century ago -- aren't likely to salute Trump, Newsom and Cuomo (especially Trump, who depicted coronavirus as no big deal until Wall Street began to collapse) and return to their old way of living after being directed to do so. Just because political leaders want a return to normalcy doesn't mean that it will happen.

We shouldn't just expect millions of Americans to routinely wear face masks in public going forward -- as millions of Asians have for decades -- or to be far more aware of and worried about everyone's coughs and sneezes. We should understand that being in crowded places now seems dangerous to anyone who is following developments -- and many of these people will never stop thinking that way even when national leaders declare the virus crisis to be behind us.

Shelly Palmer, an often-insightful technology consultant and blogger, wrote Sunday that he thinks profound changes in consumer behavior are going to be the new norm, and that it's possible that half of all restaurants and bars never reopen.

In such a world, coronavirus' second wave isn't likely to be nearly as bad as its first. Unfortunately, in such a world, the broad prosperity of 2019 will seem like a distant dream -- unless humanity comes up with a vaccine, and quickly.

Without one, prepare for a great cratering of society. And, born of poverty, another pandemic -- one of individual depression.

Chris Reed is deputy editor of the San Diego Union-Tribune editorial and opinion section. Twitter: @chrisreed99. Email: chris.reed@sduniontribune.com.

___

(c)2020 The Repository, Canton, Ohio

Visit The Repository, Canton, Ohio at www.cantonrep.com

Distributed by Tribune Content Agency, LLC.

Older

Zurich North America offers employers a COVID-19 product that helps get cash in the hands of hospitalized patients

Newer

Intermountain Sevier Valley Hospital Earns Top 20 Status in US

Advisor News

  • U.S. debt hits $40 trillion: how to support concerned clients
  • Flourish brings private-bank-like cash solution to MassMutual’s network
  • Majority of Americans concerned recent market highs are unsustainable
  • GLP-1 users choose between medication and retirement saving
  • Gen X and millennials seek new retirement model
More Advisor News

Annuity News

  • Corebridge Financial Introduces Progressive Trigger, a First-of-Its-Kind Index Annuity Strategy Designed to Turn Missed Years into Future Opportunity
  • Insurer proposes $1.1M deal to resolve CA teachers’ annuity fee lawsuit
  • IMOs get frustrated with slow carrier adoption of faster technology
  • New class-action lawsuit targets Delaware Life over annuity disclosures
  • A client remarried: Does their annuity still fit?
More Annuity News

Health/Employee Benefits News

  • UnitedHealth posts $4B profit in comeback from financial spiral
  • UnitedHealth beats Q3 expectations, hikes 2026 guidance
  • What 70% doesn’t tell you
  • Blue Cross faces Michigan lawsuit over alleged monopoly and pricing practices
  • SMH, UnitedHealthcare wrangle over coverage
Sponsor
More Health/Employee Benefits News

Life Insurance News

  • How life insurance can solve problems unique to HNW clients
  • Corebridge Financial Introduces Progressive Trigger, a First-of-Its-Kind Index Annuity Strategy Designed to Turn Missed Years into Future Opportunity
  • BILTIR conference draws more than 750 insurance leaders to Bermuda
  • Death and taxes: How the right analysis for life insurance changes the picture
  • Life insurance applications rise 15.2% in September, MIB reports
Sponsor
More Life Insurance News

NEWS INSIDE

  • Companies
  • Earnings
  • Economic News
  • INN Magazine
  • Insurtech News
  • Newswires Feed
  • Regulation News
  • Washington Wire
  • Videos

FEATURED OFFERS

Press Releases

  • Lauren Sinnott Named to Ragan’s Top Women in Marketing Awards, Class of 2026 
  • Classic Car Insurer OpenRoad Insurance Expands to 40 U.S. States in Two Years
More Press Releases > Add Your Press Release >

How to Write For InsuranceNewsNet

Find out how you can submit content for publishing on our website.
View Guidelines

Topics

  • Advisor News
  • Annuity Index
  • Annuity News
  • Companies
  • Earnings
  • Fiduciary
  • From the Field: Expert Insights
  • Health/Employee Benefits
  • Insurance & Financial Fraud
  • INN Magazine
  • Insiders Only
  • Life Insurance News
  • Newswires
  • Property and Casualty
  • Regulation News
  • Sponsored Articles
  • Washington Wire
  • Videos
  • ———
  • About
  • Meet our Editorial Staff
  • Advertise
  • Contact
  • Newsletters

Top Sections

  • AdvisorNews
  • Annuity News
  • Health/Employee Benefits News
  • InsuranceNewsNet Magazine
  • Life Insurance News
  • Property and Casualty News
  • Washington Wire

Our Company

  • About
  • Advertise
  • Contact
  • Meet our Editorial Staff
  • Magazine Subscription
  • Write for INN

Sign up for our FREE e-Newsletter!

Get breaking news, exclusive stories, and money- making insights straight into your inbox.

select Newsletter Options
Facebook Linkedin Twitter
© 2026 InsuranceNewsNet.com, Inc. All rights reserved.
  • Terms & Conditions
  • Privacy Policy
  • InsuranceNewsNet Magazine

Sign in with your Insider Pro Account

Not registered? Become an Insider Pro.