US Treasury Secretary Steven Mnuchin said that the American economy hit hard by the coronavirus pandemic is expected to bounce back later this summer as States begin to open up their businesses in May and June.
"As we begin to reopen the economy in May and June, you're going to see the economy really bounce back in July, August, September,” Mnuchin told Fox News in an interview.
He said the Trump Administration has put together an unprecedented amount of fiscal relief into the economy. "You're seeing trillions of dollars that's making its way into the economy and I think this is going to have a significant impact,” he said.
As a result of the coronavirus pandemic that has claimed more than 54,000 American lives in the last two months and infected over nine lakh others, the US economy has come to a standstill. More than 95 per cent of the country's 330 million population are under stay at home order.
With the death rate and new cases showing signs of decline over the last one week, some of the States have taken steps to reopen their economy in multiple steps.
Frequently Asked Questions
A vaccine works by mimicking a natural infection. A vaccine not only induces immune response to protect people from any future COVID-19 infection, but also helps quickly build herd immunity to put an end to the pandemic. Herd immunity occurs when a sufficient percentage of a population becomes immune to a disease, making the spread of disease from person to person unlikely. The good news is that SARS-CoV-2 virus has been fairly stable, which increases the viability of a vaccine.
There are broadly four types of vaccine — one, a vaccine based on the whole virus (this could be either inactivated, or an attenuated [weakened] virus vaccine); two, a non-replicating viral vector vaccine that uses a benign virus as vector that carries the antigen of SARS-CoV; three, nucleic-acid vaccines that have genetic material like DNA and RNA of antigens like spike protein given to a person, helping human cells decode genetic material and produce the vaccine; and four, protein subunit vaccine wherein the recombinant proteins of SARS-COV-2 along with an adjuvant (booster) is given as a vaccine.
Vaccine development is a long, complex process. Unlike drugs that are given to people with a diseased, vaccines are given to healthy people and also vulnerable sections such as children, pregnant women and the elderly. So rigorous tests are compulsory. History says that the fastest time it took to develop a vaccine is five years, but it usually takes double or sometimes triple that time.
"This is not the Financial Crisis," Mnuchin explained. “This is a scenario where we've closed the economy and we're going to open the economy."
Responding to a question, he said that President Donald Trump has said no bailouts to any companies, whether that was airlines or oil companies.
"We will consider loans to companies in a proper scenario with strategic importance, but no bailouts. No shareholder bailouts,” he asserted.
A of now, the United States is working globally to conquer this virus. “But the president's made very clear, he wants to understand what China knew, when they knew it, and if they knew things that they didn't turn over that could have stopped this he will hold them accountable,” he said.Mnuchin refrained from answering a question on sanctions on China. “We never make comments on future sanctions options," he added.