Assignment about Novel Covid-19

Running head: COVID-19
COVID-19
Name of the Student
Name of the University
Authors note

COVID-19
1
Introduction
Novel COVID-19, the current problem with which the entire global is fighting. The
virus which is killing thousands of people around the world; nevertheless, this respiratory
virus has severely crippled countries' economy as well.
Discussion
Pandemic Effects on Canada's GDP and Growth Rate
Almost all countries have become the victim of the novel Coronavirus; thus, the
economic crisis has emerged. Among infected countries, Canada is the one. Canada's GDP
and growth have been decreased considerably, and it is expected to decline even more. The
reasons behind the crippling economy are reduction in trade with countries, especially with
China, a decline in Air transportation as travel and material distribution has been ceased, and
so on. Thereby, from example is quite apparent how CODVID-19 causing the decline in the
country's GDP and Growth. Additionally, in Quarantine, the country will face critical
situations in terms of the economy(Jandoc, Mendoza and Quimbo).
Pandemic Effects on Canada's Interest Rates
Due to Quarantine, work in industries has been ceased; however, still, the government
had made of the decision of paying wages to employees. Hence, loans have been provided to
businesses with zero interest rates. So, employers can provide wages, and employees can
fulfill their basic needs. As a result of the COVID-19 virus, the interest rate in Canada has
reached zero to aid small and medium-sized businesses.
Pandemic Effects on Canada's Inflation Rate and Bank of Canada should take steps to
maintain their core values
CODVID-19 virus has imposed effects on each economic area, as nowadays, the
demand for fuels has been decreased; thus, to maintain the economy, prices of food items are
touching the sky. Similarly, in Canada, the inflation rate has been rose by 0.1 percent for
essential items in February. However, it is noted that the cost of digital products and services
is dropping. The Bank of Canada decided to set the rate of inflation at the mid-point of the
inflation-control range (1 to 3 %), i.e., 2 % (Ozili and Arun ).
Pandemic Effects on Unemployment