Pandemic-Related Unemployment and Shutdowns Are a Recipe for Social Unrest

Pandemic-Related Unemployment and Shutdowns Are a Recipe for Social Unrest
Could the stalled economy we’ve inflicted on ourselves in our frantic efforts to battle the COVID-19 pandemic lead to civil disorder? History suggests that’s a real danger. Around the world, high unemployment and stagnant economic activity tend to lead to social unrest, including demonstrations, strikes, and other forms of potentially violent disruptions.

Coronavirus job losses could total 47 million, unemployment rate may hit 32%, Fed estimates
Millions of Americans already have lost their jobs due to the coronavirus crisis and the worst of the damage is yet to come, according to a Federal Reserve estimate. Economists at the Fed’s St. Louis district project total employment reductions of 47 million, which would translate to a 32.1% unemployment rate, according to a recent analysis of how bad things could get.

As oil prices crash, Saudi, UAE businesses scramble for cash
Saudi Arabia and the United Arab Emirates are spending tens of billions of dollars to shore up their economies against coronavirus disruptions and a brutal crash in oil prices. But that state largesse is falling short of need as work is halted on big government projects – depriving both countries of a major growth driver – and as private sector businesses scramble for cash.