Jay L. Zagorsky, Boston University
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| Wearing a mask may not be enough. AP Photo/Lee Jin-man |
But since the U.S. economy and its workforce are also at risk of getting sick – a concern you can see in the recent stock market rout – it’s important to make preparations to ensure they stay healthy too.
While the Federal Reserve says it is carefully watching COVID-19’s “evolving” impact and will cut interest rates if necessary, this would primarily help banks and businesses.
It would do relatively little to aid workers who might be temporarily without an income, which would hurt not only their families but the economy as well.
Fortunately, there’s a remedy: unemployment insurance – a topic I’ve written about in the past. Currently it’s not designed to help in a pandemic.
But with a few easy changes, it could make a big difference, not only in softening the blow for workers and the economy but also in preventing the spread of COVID-19.
Workers are vulnerable
More than three-quarters of U.S. workers live paycheck to paycheck, while a significant share of American households would struggle with an unexpected US$400 expense.
If you are living this way, you have a strong incentive to go to work even when sick, which makes it easier for a disease like coronavirus to spread and increases the odds of an outbreak.
In addition, during a pandemic, health officials put large numbers of people in quarantines in hopes of preventing the virus’ spread. This temporarily shuts down businesses and puts hourly workers out of a job until it reopens.











