<Anchor>

Kwon Ae-ri's friendly economy starts. Reporter Kwon, I wonder if stock markets around the world are panic right now.

<Reporter>

Yes. In the name of 1987, the so-called Black Monday 'Black Monday', it was the biggest hit ever since the tumultuous market still in circulation.

The New York Stock Exchange slumped 9.5% on the S & P500. Compared to the all-time highs recorded on February 19th, it was 26.7% down. The Dow also ended with a 10% drop.

As soon as we started the market last night (12th), our slump started so quickly that the second circuit breaker was launched this week. It's an artificial stop in the middle of the day for 15 minutes.

This was also triggered on Monday last 23 years after the slump that was called 'Blood Monday' in 1997, and it took another three days.

There are several anxiety factors in the market right now. The oil price war, which I talked about a few days ago, showed a further progress and ended with a sharp drop in crude oil prices by over 6%.

However, today, more than anything else, the fear that the aftermath of Corona 19 could be bigger and more shocking than expected was dominated by the market.

There were many investors who expected Trump's special speech on Corona 19 yesterday at 10 a.m. yesterday, rather than whether the United States has a great stimulus package.

There have been rumors of a very breakthrough tax, or even anticipation of whether to declare the end of the US-China trade war.

However, the key was to limit the number of travelers from 26 European countries to the United States for a month. Europeans can't go to the United States.

It was the third time in history that WHO declared Coron19 a pandemic, or global pandemic, and it shocked the market that this was a problem.

<Anchor>

However, there are so-called ant investors who someday say that one day they will rebound the so-called V-shaped and that they should buy the stock now. On the other hand, I think the big hands of the market are sensitive and anxious to respond to the poisonous corona19.

<Reporter>

It seems to me that there is a point that the speed of transmission is fast globally, in the absence of therapeutics or vaccines.

In 2015, MERS was a major problem in Korea, and similarly to the current situation, the 2009 H1N1 flu pandemic, when the world's second pandemic was proclaimed, is relatively recent.

The fear of swine flu was also quite high, but this was literally caused by the existing flu flu, so some people have already had immunity and so-called 'cross immunity'.

However, Corona was a new virus, and in 2009, anxiety subsided rapidly as a drug called Tamiflu began to be used in 2009.

Even if Corona 19 continues to spread like this, it is predicted that people will have some immunity.

As the number of confirmed people in the world is increasing very rapidly, there are currently some unavoidable aspects of countries where there is no cure now, which has drastically reduced activity for the time being, and that anxiety does not subside.

<Anchor>

In fact, the spread is just beginning in the United States and Europe, so we need to prepare for the 2008 global financial crisis. You are also talking about this, right?

<Reporter>

I can't say exactly what will happen yet, but there is one thing. The financial crisis was literally a crisis. As the finances recovered, I was able to recover again.

However, in short, the economic problems caused by Corona 19 have a problem that the situation may vary depending on how big and long the constraints on actual production and consumption will be.

The biggest problem with Corona 19 is reducing activity. People can't get around, they can't get together. Less work, no money, no airplanes.

If this period is short, literally, a strong V-shaped rebound and rapid recovery may appear later. As now, as Corona 19 spreads worldwide, if our activities are constantly and globally restricted, it will be too difficult to fill this later. The biggest worry.

Globally, if factories run less, production decreases, and timely money is not spent, such sluggish production, resulting in poor trade, and sluggish consumption can be compounded.

For example, if we first make a product for export because the spread of the market is a little lower, the country to be sold is spreading for a while, so if there is a factory door closed, I can't buy your goods for the time being, I can't buy your intermediate. I can do it.

It's not likely that things will overlap here and there. Later on, even if our activities are more free than they are now, the longer the period of time we can make up for the losses we have made here, the more there may be limits.

The situation is different in each country, but we are especially concerned about countries that, like us, are leaning heavily on the economy for active trade and movement.

Policy responses such as fiscal policy, interest rate cuts, tax cuts, etc. It is a time when it is time to carefully calculate how, when and how much to respond appropriately in the future while minimizing the damage caused by Corona 19.