Disasters and its relation to the economy of countries
Wildfire, Volcanic eruption, Tsunami, Earthquake, Pandemic, Impeachment, and many other natural, political and other disasters. These disasters cause a lot of live lost, a lot of fear, as well as it affects the economy of several local government, provinces, states, countries and continents. To explain how hard these disasters hit down into an economy, the stock prices always go down as a result of this disasters.
One thing citizens fear the most in a disaster is the loss of lives which is predominantly active in the heart of citizens but while this is happening, those in government position think about a lot of things from lives, economy as well as political stand. Did we remember that the lack of trust in the economy when the news of the covid-19 pandemic caused a very quick buy in essentials and a sharp drop in the price of stocks in several countries? I have not known anyone directly who caught this virus since it found its way into my country but although a lot of people do not know anyone with the virus but the market tanked really bad.
The economic state of a country is known to favor a few and not favor a lot. Like people who understood economics started selling short their stocks thereby making a lot of money out of the disaster while those who did not understand how the market works lost (which is where a lot of us fall under). Either you like it or not, short sellers are going to sell at the glimpse of any news. People start to cancel out their stock orders because of the news of a disaster and this immediately causes a reduction in price of stocks.
Disaster is one thing that always affects the GDP of a country. When a country has disasters either economical, political or natural, the GDP of a country always feels the heat which means there will be less flow of money both coming into the country and being spent in the country.
Thank you for sharing this film, where it shows us the relationship of Economía and its society
It's what they call Green Swan in economics, otherwise I'm wrong @ajewa. There are so many things that can affect the economy, that are difficult to predict, that in the end I think the states play to benefit those who have more, the poor get poorer, and the governments play to give alms to the people, that's what I see happening everywhere.
It is a global occurrence for real thanks for reading.
Very valuable information that you show us in your writing.
Very valuable
Information that you show
Us in your writing.
- omegarojo827
I'm a bot. I detect haiku.
Thanks for reading.
In a country you see everything, both economic and natural disasters, since nature is the first to be negatively affected by these disasters, stock prices will always go down as a result of these disasters. Friends and colleagues I invite you to take more care of our cultural heritage that is the best heritage we have, Greetings thank you for sharing your article
Taking care of our environment is also highly important thanks for reading.
@tipu curate
Upvoted 👌 (Mana: 0/16) Passive income with @tipU :)
It is sad that the government or should I say political leaders of most countries are only concerned about their own pocket and not in any way bothered about the convenience of citizens.
It basically happens everywhere even in civilized countries, the masses tend to serve those in power.
Disaster isn't what i pray for but it affects the way cash is being exchanged between people in a country
Sure it does a clear example is the covid-19 pandemic.
Disaster has actually led to the great loss of lives in some countries and the astonishing fact is that it keeps repeating itself in same countries. Some people are of the opinion that it could actually be as a result of the result of the handwork or activities by citizens of such countries though but I really don't know how true this is. What's your view about this?
Thanks for sharing this great post with love from @hardaeborla and I hope you have a great day ahead 💕💓❤️
I think apart from political influence, some countries are more prone to these disasters naturally than others.