By Paige Fanneron, New Editor
It’s no surprise that the Coronavirus (COVID-19) pandemic has had major impacts on everyone, whether it be on a local or national level. One of its widest felt impacts is its effect on economies across the world.
Due to the COVID-19 pandemic, unemployment rates are at an all time high. By the end of the week of March 21, 2020, 3.3 million Americans had filed for unemployment insurance. The following week, 6.9 million Americans followed suit. According to the United States Department of Labor, at no other point in U.S. history has there been more than 695,000 unemployment claims filed in one week. In April 2020, unemployment rates were the highest they had been since the Great Depression, peaking at 14.7%. However, with businesses eventually adapting to the limits of the pandemic and working from home, the unemployment rate finally went below 10% in August of 2020.
According to The Balance, in April of 2020, 43% of American businesses had temporarily closed due to COVID-19. One scientific journal, Proceedings of the National Academy of Sciences of the United States of America, did a survey that showed the businesses that were most impacted by the pandemic, which included restaurants, bars, entertainment, retail and personal service providers like hairdressers. However, businesses that were found to be doing the best were located in industries that don’t depend on on-site location and sales, such as financing and real estate.
In efforts to help the economy through these tough times, the U.S. congress passed the Coronavirus Aid, Relief and Economic Security Act in March 2020. The $2 trillion aid act was passed by Congress in efforts to help Americans and their families. The congressional Budget Office said that the 2020 federal budget deficit grew to a record $3.3 trillion, which is more than three times the deficit of the previous year.
Designed by Isaac Weber