Canada adds 267 coronavirus CASES on Sunday(August 30, 2020), 114,000+ out of 128K Canadians have recovered from COVID-19 so far without a vaccine – August 31, 2020,
In Sweden, a country which for the most part hasn’t really practiced social distancing and haven’t shut down their economy out of 83,000+ cases they’ve had 5,821 deaths so far, now, oddly enough if you look at Canada’s numbers they’re very similar to Swedens, actually out of 128K cases Canada so far has 9,117 deaths.
In my opinion, there appears to be an overreaction to Covid-19, but that’s not what concerns me, what concerns me is the economics of the situation. Canada’s economy was in trouble pre-Covid-19, now mortgage deferrals have become the norm, teachers and other public servants all over Canada are using Covid-19 as an excuse to be even less productive, Canadians barely noticed that a lot of public servants and public services aren’t working nor are they available and the Government has recently unleashed basically a Universal Basic Income pilot in the form of the new E.I.
Why this is important to COVID-19 is that resources have been maxed out, to the point that Canada now has productivity- and tax collection related issues. This, of course, should be concerning to Canadians if there is a second wave of the COVID-19 virus because a second wave could lead to an economic collapse based on the government response.
You’d have to imagine that the second wave would increase the number of people reliant on the government for their survival if the government responds in the same or a similar manner it responded now. Because Canadians, for the most part, haven’t really noticed the lack of productivity in the economy, it might shock many Canadians to know how bad the economic situation is.
The point I’d like to point out is, pre-vaccine and with all the lockdown measures, our final outcome mirrors Sweden but we’ve inflicted far more economic damage. It doesn’t seem like a big deal now, but when the bill comes due via the inflation dollar debasement tax, which by the way has little to do with the Forex markets, the question won’t be was it worth it, the real question will be how do we dig ourselves out of this self-inflicted economic hole!
Interesting times ahead!