Well this was something very predictable. The economy of any country inflicted by the corona virus is prone to go down or decrease due to obvious reasons. The economy is majorly dependent on the employed working everyday and producing productive products and solutions. The whole world of transactions needs to be alive to ensure the flow of economic capital in the economy. Additionally the balance of international payment deficit also comes into play. If a country is importing more than they export, they fall into a debt to the international market. And if the deficit is negative, indicating that the country exports more than it imports, then it deserves a right to hold a bigger stake in the international market, progressing the economy forwards.
One of the biggest causes for the economy to decrease is the increase in the unemployment rates. And the problem emerges because major percentages of populations around the world work for daily-wages or minimum-pay. Additionally, there are relatively low paying jobs in the corporate world, so as private companies need to store their revenues, they either need to enforce furloughs, or just lay off people. So, there is a constant rate at which people would suffer without incomes, and they won’t be able to pay their bills, causing a void in the world of economic transactions, and there is a debt that is generated. And this would not only happen in China, but countries across the world. United States would be a big victim of unemployment. As for now, the lockdowns have caused a lot of unemployment. And this is only the start, there would be a series of chain reactions, which really affects every country. And new questions emerge about how will international trade run and how will the world bank manage the loans that they would have given out to the countries fighting against this virus.