Economic lessons of coronavirus

Coronavirus' genesis in China, and its transitive impact on global economic activity, portend important lessons for economists

The outbreak of the coronavirus epidemic is neither unprecedented nor intractable. However, its genesis in China, and its transitive impact on global economic activity, portend important lessons for economists.
 
Globalisation brings structural risks that have to be analytically recognised and addressed: Globalisation represented the triumph of the theory of comparative advantage as technology and innovation lowered the barriers to locating production in the most globally competitive locations. Production costs fell, and global aggregate demand increased, just as predicted by that theory. China was the biggest driver of this structural change due to its sheer size and scale. The outbreak