The world is definitely in a mess as there are millions of Americans who are believed to have lost their jobs suddenly. This has all happened at once and there are many businesses which are struggling already to manage at the time when there is a widespread shutdown which has been caused due to the apocalypse that is the coronavirus. The retirement accounts have been hit a lot as well as their stocks have been down by close to 30% in a month. Recession may not be as punishing as the 2008 one was which had wrecked the financial system of the world altogether and the intervention of a competent government is very important. However looking at it in depth and making an analysis about the duration of this recession should be reassuring to everyone that the recession now will not bring back the horrors of the previous recession.
What is clear is that people need to be ready and the next few months are going to be horrible. The economists have been expecting a plunge in the growth of GDP in the second quarter and the growth may be down in the region of 10-15%. This is worst quarter which may have been posted in the history after the war and what is worse is that it might even be worse than the fourth quarter of the year 2008 when there was a shrinking of GDP by 8.4%.
The initial unemployment insurance filings have been expected to hit the roof and the forecasts have been ranging around 3-5 million by this summer and though this is bad it is not as bad as the 2008 recession.