The defining moment for the economy.

The defining moment for the economy. 

It's been more than 1 year & 3 months since the pandemic of covid19 began. And there is no visible sign of subsiding of the gravity of causes and effects of this calamity brought to all of us. The daily skyrocketing number of Covid 19 cases is alarming and has become the cause of concern for the nation. In fact, the second wave is proven to be a real nightmare for the entire nation with failing all healthcare mechanisms. With the collapsed hands of systems, we all are observing behavioral as well as economic changes around us. An opportunity missed will cause dear to us. 

Dickensian paradox will guide us for best of times in worst of times. It's a unique opportunity in front of us to get the maximum of this pandemic. The things which we thought necessary in life has started becoming accessory. With the limited availability of resources, we are becoming more conservative in terms of consumption. Limited resources that too in limited times, if you could ever decide to go outside and risks your own health.  

There are various ways in which we all observing behavioral economic changes. Take a dig at the small example, our vegetable seller (Sabjiwala bhaiya) has started delivering online orders and delivery is on every Monday and Thursday with online payments only. The limited supply of veggies, with limited time, on limited days, and in limited areas is helping him to serve other areas too i.e. Market and scale has increased for his business.

Occasionally, he had admitted that the pandemic has smoothed his business. Going outside for veggies and incurring the time and other resources may become a thing of the past now. Such a nice change for the producer, consumer as well as supplier or seller. 

A logistics-driven economy will be a thing of the future. The strength of any corporation will be depending on the logistical arrangements it possessed. The covid 19 pandemic forces monetary and fiscal policy to change in accordance with the need. Work from home proved that for most of the jobs, incurring expenses on offices may not be necessary. Taka look at changing patterns associated with day to day life i.e. our spending on garments, increased consumption of electricity and internet uses. 

Now, these minute or mammoth changes will start integrating with our future course of action. If this annus horribilis continues to play havoc we will have to ready for more such integration of changes.  Let's us observe and be an eyewitness of defining moment of the economy. 

-Amol Nakve