Washington: Coronavirus (Covid-19): Jerome Powell, chairman of the Federal Reserve, warned that the US economy could be in deep trouble. He said that there is a possibility of serious deterioration in the economy amid the uncertainty about revival and its strength. Powell said that the longer the recession continues, the greater the loss to the job market and business. In a statement before the US Parliament, Powell asserted that the Federal Reserve is committed to using all financial ‘tools’ to protect the economy from the damage caused by the Coronavirus.
Low-income groups will have the greatest impact,
however, with no hope of complete revival until the public is convinced that the epidemic (Coronavirus Epidemic) has been fully controlled. The chairman of the US central bank warned that the longer the decline in the economy, the greater its impact on people from the lower-income group. This category has been most affected by the epidemic.
Powell said that the longer the decline, the loss of temporary jobs, and the closure of companies will be equally large. He said that the skills of workers may be affected if they remain unemployed for a long time, which will taint their chances of getting employment. He said that this epidemic is a big threat to small business sectors.