Effect of COVID-19 on Globalization: An Economic Perspective

Abstract

COVID-19 pandemic is not only affecting global citizen’s health but also global economic health. Globalization has been a surge from the last couple of decades, which has positive and negative effects on our society. Globalization has reduced the scarcity of goods and services around the world. COVID- 19 will affect human societies in many ways, mentally, physically, and economically for many years. This paper investigates the effect of the COVID-19 pandemic on the globalization. It is challenging to measure the effect because of the uncertainty of this natural phenomenon and human behavior. However, the author tried to make the best use of available resources to investigate. This paper uses variables economic growth, unemployment, and trade at a global level. Analysis suggests that slowing down economic activities, mobilization, and dependency on other countries for necessary goods like medication and PPE equipment can encourage economies to be more self-sufficient in the coming years. After this pandemic end, we might see a different world an inclination towards deglobalization.