New poll shows what people think coronavirus will do to their economies

economy 2020

(Credit: Unsplash)

This article is brought to you thanks to the collaboration of The European Sting with the World Economic Forum.

Author: Andrea Willige, Senior Writer, Formative Content


  • A YouGov survey uncovers wide variation in people’s economic circumstances and outlook ahead of the looming recession.
  • The global recession is the biggest concern for people in all economies surveyed.
  • Mexicans are the most concerned when it comes to their future expectations.
  • People in Viet Nam and the Middle East are the most upbeat about the economic outlook.

The Financial Times has called it the worst global economic contraction since at least the 1930s. Advanced economies are set to shrink by 7% this year while emerging and developing economies collectively face a contraction of 2.5%.

And while COVID-19 has pulled the rug from under people’s feet everywhere, a new survey by YouGov shows that we all deal with the impact of COVID-19 differently.

YouGov asked 27,000 people in 26 economies about their expectations for the economy over the next 12 months.

While respondents were largely united in their fears over a global recession – ranging from 95% of Spaniards to 67% of Norwegians – the survey uncovered a wide spread of views on the fates of national economies.

Pessimism in Mexico

Worldwide people are bracing for economic depression/recession.
Worldwide, people are bracing for an economic recession.
Image: YouGov

The most pessimistic views came from economies as diverse as Mexico, Hong Kong and France, where three-quarters of those surveyed expected to be in recession in 12 months’ time. Mexico has recently become one of the countries worst affected by coronavirus.

On the other side of the globe, Hong Kong’s attitudes were markedly different from the rest of China, where half of respondents saw their economy remaining stable.

Third-ranked France was slightly separated from its European neighbours in Spain and the United Kingdom. Only around two-thirds of Spaniards and Brits said they were expecting an economic depression next year.

Poles, Italians and Finns were not far behind, but Danes and Norwegians held much more positive attitudes, with only 43% and 41% respectively believing that their countries would hit a recession.

What is the World Economic Forum doing about the coronavirus outbreak?

Responding to the COVID-19 pandemic requires global cooperation among governments, international organizations and the business community, which is at the centre of the World Economic Forum’s mission as the International Organization for Public-Private Cooperation.

Since its launch on 11 March, the Forum’s COVID Action Platform has brought together 1,667 stakeholders from 1,106 businesses and organizations to mitigate the risk and impact of the unprecedented global health emergency that is COVID-19.

The platform is created with the support of the World Health Organization and is open to all businesses and industry groups, as well as other stakeholders, aiming to integrate and inform joint action.

As an organization, the Forum has a track record of supporting efforts to contain epidemics. In 2017, at our Annual Meeting, the Coalition for Epidemic Preparedness Innovations (CEPI) was launched – bringing together experts from government, business, health, academia and civil society to accelerate the development of vaccines. CEPI is currently supporting the race to develop a vaccine against this strand of the coronavirus.

Viet Nam and the Middle East remain upbeat

Viet Nam’s population stood out as the most upbeat, with 65% of respondents believing their economy would remain stable and less than a quarter expecting a recession.

Viet Nam has been praised internationally for its quick action on coronavirus, though it has recently had to reimpose localized restrictions after new cases of the virus emerged in the city of Danang. Before this incident, it had not registered a community infection in more than three months.

Yet it is the Middle East that has the highest expectations: 27% of Saudi Arabians and Emiratis predicted their economies would boom in 12 months’ time – the highest percentage of all geographies surveyed.

In most countries, most people's household finances are the same as, or even better than a months previously.
How household incomes have changed during COVID-19.
Image: YouGov

The hit to household incomes

Household finances had largely stayed the same for the majority of respondents compared to the month before.

The Nordic countries reported the greatest levels of financial stability, ranging from 69% in Norway to 79% in Denmark.

Mexicans had suffered the greatest financial impact, with 58% reporting that their finances had declined in the past month. Next in line were the Philippines and India, where 50% and more reported a drop. This aligned with the strong concerns over a looming economic depression that all three economies had expressed elsewhere in the study.

Viet Nam, again, showed itself as optimistic, with a third of respondents stating that their household finances had actually improved from the previous month.

What are the economic impacts of coronavirus people are worried about?
Economic issues people are most concerned about around the world.
Image: YouGov

Job losses and economic concerns

Furlough, reductions in working hours and job losses have shaken up national economies in the wake of COVID-19.

Mexico topped the list of the worst job losses (17%). Along with France, it also had the highest number of employees on furlough (24%).

Emiratis were worst affected by unpaid leave, with one in four respondents retaining a job but not getting paid.

Reduced working hours were the most prevalent way of dealing with the pandemic in South-East Asia, with upbeat Viet Nam (42%) ahead of the Philippines and India, with around a third each.

Finland (59%) and Germany (57%), Taiwan, China (53%) and the UK (51%) were the only economies where a majority of workers said their jobs were unaffected.

Beyond the threat of recession and jobs, respondents were most concerned about the impact of the pandemic on local businesses. Other fears such as paying rent or mortgages, banks failing and paying bills were more differentiated. Across the board, Indonesians and Filipinos emerged as the most worried, while the Nordic countries and Germany were the least concerned, according to YouGov.

That people in very diverse markets – emerging and advanced – take a positive stance underscores that the aftermath of coronavirus presents not just substantial challenges: it is also a window of opportunity to stage what has been called a “Great Reset”. How this can be achieved will be the theme of a World Economic Forum twin summit in January 2021, which will focus on building a new, more resilient economic and social system for the post-COVID world.

the sting Milestone

Featured Stings

Can we feed everyone without unleashing disaster? Read on

These campaigners want to give a quarter of the UK back to nature

How to build a more resilient and inclusive global system

Stopping antimicrobial resistance would cost just USD 2 per person a year

More funds needed to counter ‘persistent and multi-faceted humanitarian problems’ in Ethiopia

Commission publishes guidance on coronavirus-related humanitarian aid to Syria despite sanctions

Teamgum @ TheNextWeb 2014

A letter from Italy: Our insecurity in COVID-19 times

Companies that put employees first perform better

Vile act of torture prohibited ‘under all circumstances’, UN chief affirms on International Day to support victims

The power of partnership: joining forces to fight financial crime

Speak up for health care workers’ safety

Intervene, don’t overthink – the new mantra of systems design

8000 young people in the EP in Strasbourg: “a breath of fresh air for EU democracy”

This is what happened to CO2 emissions in the EU last year

From Israel’s ‘start-up nation’, 4 lessons in innovation

3.7 million lives could be saved by 2025 if health services ramp up nutrition actions: WHO

You can live up to 10 years longer by doing these 5 things

Statement by OECD Secretary-General Angel Gurría on the outcome of COP 25

Italian Prime Minister Giuseppe Conte: “Europe must listen to the people”

Integration of migrants: Commission launches a public consultation and call for an expert group on the views of migrants

European Youth Forum welcomes strong stance on human rights in State of the Union

Why rich countries are seeing more poverty

Quality of air in Bucharest-Romania: is it fog or is it smog?

Commission reaches agreement with collaborative economy platforms to publish key data on tourism accommodation

This is how we can feed the planet while saving the ocean

Genocide threat for Myanmar’s Rohingya greater than ever, investigators warn Human Rights Council

Mental health and suicide prevention

World Migratory Bird Day highlights deadly risks of plastic pollution

UN chief expresses solidarity with Indonesian authorities after flash floods kill dozens in Papua

‘Path to peace’ on Korean Peninsula only possible through diplomacy and full denuclearization: US tells Security Council

9 climate tipping points pushing Earth to the point of no return

EU Ombudsman investigates the European Commission

Humanitarian aid: €7 million for disaster preparedness in Southern Africa and Indian Ocean region

MEPs approve €585 million to support refugees from Syria

How can we make entrepreneurship serve the greater good?

Can the world take the risk of a new financial armageddon so that IMF doesn’t lose face towards Tsipras?

We need to build a quantum security coalition. Here’s why

A Sting Exclusive: “The challenge of Society’s digital transformation”, Spanish Minister of Spain for Industry, Energy and Tourism José Manuel Soria live from European Business Summit 2015

China’s lead in the global solar race – at a glance

How COVID-19 can be the Great Reset toward global sustainability

UN food agency begins ‘last resort’ partial withdrawal of aid to opposition-held Yemeni capital

The World Bank’s 2020 country classifications explained

Venezuela: Competing US, Russia resolutions fail to pass in Security Council

On Kristallnacht anniversary, UN chief urges renewed fight against ‘crime’ of anti-Semitism

The EU has to prove it can remain one piece

Politics needs to “Youth UP” in order the ensure the future of our democracies

5 reasons to protect mangrove forests for the future

States with power and influence to end suffering of Yemenis must take action ‘immediately’ – UN rights chief

COVID-19: Both WHO and Europe must learn from the current pandemic, say MEPs

Italy’s revised budget remains roughly unchanged waiting for Europe’s fury

Tropical Cyclone Idai affects 1.5 million across Mozambique and Malawi, as UN ramps up response

Germany rules the banking industry of Eurozone

Google strongly rejects EU antitrust charges and now gets ready for the worst to come

Labels for tyres: deal for greener and safer road transport

Why people with disabilities are your company’s untapped resource

The Fourth Industrial Revolution must not leave farming behind

Agreement on linking the emissions trading systems of the EU and Switzerland

Political solution ‘long overdue’ to protect the children of eastern Ukraine

Europe plans to send satellites into space to monitor CO2 emissions

UN General Assembly President upholds value of multilateralism in speech closing annual debate

‘Air bridge’ vaccination operation begins for Ebola-hit communities in DR Congo

More Stings?

Advertising

Speak your Mind Here

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s