The Seen and the Unseen of COVID-19

The coronavirus has broken everyone’s windows, and the glazier cannot leave his house to fix them.

In his classic essay, “That Which Is Seen, and That Which Is Not Seen,” Frédéric Bastiat describes a pane of glass smashed by a shopkeeper’s careless son. He imagines a crowd gathered around. “It is an ill wind that blows nobody good. Everybody must live,” the gawkers mutter comfortingly, “and what would become of the glaziers if panes of glass were never broken?”

Bastiat’s great contribution to popular economics was to succinctly and memorably ask his readers to look beyond the obvious, or seen, economic activity—the reglazing of the broken window—and consider also what has been foregone, the unseen. “As our shopkeeper has spent six francs upon one thing,” Bastiat patiently explains, “he cannot spend them upon another. It is not seen that if he had not had a window to replace, he would, perhaps, have replaced his old shoes, or added another book to his library.”

COVID-19, the disease caused by the novel coronavirus that originated in Wuhan, China, and has since swept across the globe, is the ill wind that blows nobody good. The window is broken, the glazier cannot come to fix it, and neither the cobblers nor the bookbinders have worked in weeks.

Human beings and markets thrive on certainty and predictability. Rule of law is preferable to rule by men for this reason. But while rule of law has not broken down in most affected countries—at least not yet—the rule of emergency order is far from desirable.

As things stand, most people and businesses are uncertain about not only what conduct is safe if they are to protect themselves and others from sickness and death, but also what is legal as they try to protect themselves from financial ruin.

Restaurateurs in Los Angeles, for instance, were ordered to close their dining rooms in order to prevent disease transmission. Those men and women, faced with deep freezers and pantries full of food in a city where many were struggling to get groceries, saw an obvious solution—they could temporarily become grocery stores. Unfortunately, that’s illegal. The city attempted to fix the problem by waiving the regulations prohibiting such storefront conversions but only managed to get halfway there, legalizing grocery delivery from those shops but not in-person purchasing.

In many places, shelter-in-place, curfew, quarantine, and lockdown orders have been difficult to interpret and spottily enforced, and the definition of “essential workers” who can continue to move about to do their jobs has been blurry and confusing. Law enforcement is empowered far beyond what the typical officer is equipped to handle. A Pennsylvania woman driving alone in her own car was pulled over and fined at the end of March for violating social distancing orders—never mind that the only person she had contact with on her drive was the cop who flagged her down. The fine was eventually dropped, but the uncertainty remains.

Texas law enforcement charged a teenager with making a “terroristic threat” during the first week in April after she posted a Snapchat of herself suggesting she would “infest” others in a Walmart. She did not, in fact, have COVID-19, nor did she act on her ambiguously worded comments. She was nonetheless booked and then released on a $20,000 bond with a 21-day quarantine order.

Even the various stimulus, aid, and rescue packages, totaling more than $3 trillion at the time of writing, are a source of uncertainty. While some of the larger industry bailouts were negotiated upfront by folks with lawyers who have done this before, individuals have no idea if or when their checks will come. And small businesses struggle to understand the terms and availability of the billions in loans meant to keep them afloat, even as Congress squabbles over authorizing yet another tranche of loans.

And there is an inexplicable clamor, even from those who least trust or respect the president, for him to more aggressively invoke the Defense Production Act to direct certain producers to manufacture needed medical equipment. The unseen costs of handing over production decisions in crucial industries to politicians and bureaucrats would be unthinkably huge—and largely unnecessary in a scenario where the best business and philanthropic minds have already bent their considerable resources to the same task.

In March, the Department of Justice requested that Congress allow the U.S. attorney general to ask courts to suspend court proceedings. These would have included “any statutes or rules of procedure otherwise affecting pre-arrest, post-arrest, pre-trial, trial, and post-trial procedures in criminal and juvenile proceedings and all civil process and proceedings,” and the move would have applied for up to a year following the end of a national emergency, Betsy Woodruff Swan reported in Politico.

Luckily, we are not yet so far gone that that seemed like a good idea. Sen. Mike Lee (R–Utah) tweeted “OVER MY DEAD BODY”; Senate Minority Leader Chuck Schumer (D–N.Y.) wrote, “Two Words: Hell No”; Rep. Alexandria Ocasio-Cortez (D–N.Y.) tweeted, “Absolutely not” and was then seconded by Doug Stafford, chief strategist for Sen. Rand Paul (R–Ky.), who quoted her and tweeted, “Agreed.” For now, this much at least remains predictable.

We do not know when public life and private business will once again be functioning in a way that approximates pre-coronavirus normality. We do not know how bad it will get before then. We do know that rolling back these incursions on civil and economic liberties will be the work of a generation—and that paying for the trillions in emergency spending authorized with little oversight and even less public debate will be the work of a generation as well.

In our desperate search for certainty, we obsessively track trend lines, wondering every day if that upward curve showing new coronavirus infections might be flattening. But the truth is that we aren’t even sure what happens after the curve goes flat. The nations that are ahead of the United States on this trajectory are mere weeks ahead. And the big breakthroughs may be days, weeks, or months away.

Much has been made of “deaths of despair” in recent years in the academic literature. But with the economy partially shuttered by government edict, we may well see a wave of such deaths that will make the earlier Rust Belt suicides and overdoses look like a statistical wobble.

These new deaths of despair will be in response to the windows that COVID-19 has broken—the parents and grandparents dead, the work of thousands of lives left unfinished, the educations suspended, the milestones postponed—but they will also be because the glazier cannot go to work to fix those broken windows and because the shoemaker and bookseller have no customers for their wares. As long as it is neither safe nor legal to conduct our normal business, even Bastiat’s seen economic activity is beyond our reach. The unseen doubly so.

There are some, even now, who fondly anticipate a world in which the lockdowns are lifted and every glazier is working full steam, busily repairing that which was broken. But the prospect of that busy industry must fill us with equal parts of hope and despair. The window can be replaced, but the unseen economic losses cannot be undone.

For Reason‘s package of COVID-19 content—how red tape stymied testing efforts, the lasting effects of emergency restrictions on liberty, why the stimulus package is a gift to crony capitalists everywhere, and more—go here.

from Latest – Reason.com https://ift.tt/2KQaekf
via IFTTT

The Seen and the Unseen of COVID-19

The coronavirus has broken everyone’s windows, and the glazier cannot leave his house to fix them.

In his classic essay, “That Which Is Seen, and That Which Is Not Seen,” Frédéric Bastiat describes a pane of glass smashed by a shopkeeper’s careless son. He imagines a crowd gathered around. “It is an ill wind that blows nobody good. Everybody must live,” the gawkers mutter comfortingly, “and what would become of the glaziers if panes of glass were never broken?”

Bastiat’s great contribution to popular economics was to succinctly and memorably ask his readers to look beyond the obvious, or seen, economic activity—the reglazing of the broken window—and consider also what has been foregone, the unseen. “As our shopkeeper has spent six francs upon one thing,” Bastiat patiently explains, “he cannot spend them upon another. It is not seen that if he had not had a window to replace, he would, perhaps, have replaced his old shoes, or added another book to his library.”

COVID-19, the disease caused by the novel coronavirus that originated in Wuhan, China, and has since swept across the globe, is the ill wind that blows nobody good. The window is broken, the glazier cannot come to fix it, and neither the cobblers nor the bookbinders have worked in weeks.

Human beings and markets thrive on certainty and predictability. Rule of law is preferable to rule by men for this reason. But while rule of law has not broken down in most affected countries—at least not yet—the rule of emergency order is far from desirable.

As things stand, most people and businesses are uncertain about not only what conduct is safe if they are to protect themselves and others from sickness and death, but also what is legal as they try to protect themselves from financial ruin.

Restaurateurs in Los Angeles, for instance, were ordered to close their dining rooms in order to prevent disease transmission. Those men and women, faced with deep freezers and pantries full of food in a city where many were struggling to get groceries, saw an obvious solution—they could temporarily become grocery stores. Unfortunately, that’s illegal. The city attempted to fix the problem by waiving the regulations prohibiting such storefront conversions but only managed to get halfway there, legalizing grocery delivery from those shops but not in-person purchasing.

In many places, shelter-in-place, curfew, quarantine, and lockdown orders have been difficult to interpret and spottily enforced, and the definition of “essential workers” who can continue to move about to do their jobs has been blurry and confusing. Law enforcement is empowered far beyond what the typical officer is equipped to handle. A Pennsylvania woman driving alone in her own car was pulled over and fined at the end of March for violating social distancing orders—never mind that the only person she had contact with on her drive was the cop who flagged her down. The fine was eventually dropped, but the uncertainty remains.

Texas law enforcement charged a teenager with making a “terroristic threat” during the first week in April after she posted a Snapchat of herself suggesting she would “infest” others in a Walmart. She did not, in fact, have COVID-19, nor did she act on her ambiguously worded comments. She was nonetheless booked and then released on a $20,000 bond with a 21-day quarantine order.

Even the various stimulus, aid, and rescue packages, totaling more than $3 trillion at the time of writing, are a source of uncertainty. While some of the larger industry bailouts were negotiated upfront by folks with lawyers who have done this before, individuals have no idea if or when their checks will come. And small businesses struggle to understand the terms and availability of the billions in loans meant to keep them afloat, even as Congress squabbles over authorizing yet another tranche of loans.

And there is an inexplicable clamor, even from those who least trust or respect the president, for him to more aggressively invoke the Defense Production Act to direct certain producers to manufacture needed medical equipment. The unseen costs of handing over production decisions in crucial industries to politicians and bureaucrats would be unthinkably huge—and largely unnecessary in a scenario where the best business and philanthropic minds have already bent their considerable resources to the same task.

In March, the Department of Justice requested that Congress allow the U.S. attorney general to ask courts to suspend court proceedings. These would have included “any statutes or rules of procedure otherwise affecting pre-arrest, post-arrest, pre-trial, trial, and post-trial procedures in criminal and juvenile proceedings and all civil process and proceedings,” and the move would have applied for up to a year following the end of a national emergency, Betsy Woodruff Swan reported in Politico.

Luckily, we are not yet so far gone that that seemed like a good idea. Sen. Mike Lee (R–Utah) tweeted “OVER MY DEAD BODY”; Senate Minority Leader Chuck Schumer (D–N.Y.) wrote, “Two Words: Hell No”; Rep. Alexandria Ocasio-Cortez (D–N.Y.) tweeted, “Absolutely not” and was then seconded by Doug Stafford, chief strategist for Sen. Rand Paul (R–Ky.), who quoted her and tweeted, “Agreed.” For now, this much at least remains predictable.

We do not know when public life and private business will once again be functioning in a way that approximates pre-coronavirus normality. We do not know how bad it will get before then. We do know that rolling back these incursions on civil and economic liberties will be the work of a generation—and that paying for the trillions in emergency spending authorized with little oversight and even less public debate will be the work of a generation as well.

In our desperate search for certainty, we obsessively track trend lines, wondering every day if that upward curve showing new coronavirus infections might be flattening. But the truth is that we aren’t even sure what happens after the curve goes flat. The nations that are ahead of the United States on this trajectory are mere weeks ahead. And the big breakthroughs may be days, weeks, or months away.

Much has been made of “deaths of despair” in recent years in the academic literature. But with the economy partially shuttered by government edict, we may well see a wave of such deaths that will make the earlier Rust Belt suicides and overdoses look like a statistical wobble.

These new deaths of despair will be in response to the windows that COVID-19 has broken—the parents and grandparents dead, the work of thousands of lives left unfinished, the educations suspended, the milestones postponed—but they will also be because the glazier cannot go to work to fix those broken windows and because the shoemaker and bookseller have no customers for their wares. As long as it is neither safe nor legal to conduct our normal business, even Bastiat’s seen economic activity is beyond our reach. The unseen doubly so.

There are some, even now, who fondly anticipate a world in which the lockdowns are lifted and every glazier is working full steam, busily repairing that which was broken. But the prospect of that busy industry must fill us with equal parts of hope and despair. The window can be replaced, but the unseen economic losses cannot be undone.

For Reason‘s package of COVID-19 content—how red tape stymied testing efforts, the lasting effects of emergency restrictions on liberty, why the stimulus package is a gift to crony capitalists everywhere, and more—go here.

from Latest – Reason.com https://ift.tt/2KQaekf
via IFTTT

Why Didn’t The Constitution Stop This?

Why Didn’t The Constitution Stop This?

Authored by Robert Wright via The American Institute for Economic Research,

The genius of the U.S. Constitution is that the Framers, especially James Madison and Alexander Hamilton, saw it as a constraint on bad policymaking.

Given the number of really bad policies that various US governments and officials, from school boards to POTUS, have implemented, especially recently, it is high time to restore weakened or lost Constitutional restraints against arbitrary rule.

Five forces threaten Americans with destruction:

1) nature;

2) foreign powers;

3) the national government;

4) state and local governments;

5) themselves.

The threat from 3, 4, and 5 is double-edged, meaning that Americans can be harmed by the actions of those forces as well as by their inaction.

The national government, for example, can harm Americans by being insufficiently prepared for natural catastrophes and foreign incursions, as with Hurricanes Katrina and Rita and the 9/11 attacks. It can also harm Americans, though, by doing too much, as with the invasion of Iraq and the way-too-long occupation of Afghanistan. (Relying too much on FEMA instead of states or private initiatives may be another example, but less clear cut than the needless wars.)

The national and state governments are supposed to check each other’s power, so that if one overreaches, the other can thwart it. We usually think about this in terms of “states’ rights” but in fact federalism, as the concept is sometimes called, runs both ways: the states should check the national government when necessary but the national government should also check the power of the states when they overreach, as they sometimes do.

Advocates of states’ rights often cite the Tenth Amendment, which reads in its entirety “The powers not delegated to the United States by the Constitution, nor prohibited by it to the States, are reserved to the States respectively, or to the people.” Because the word “expressly” does not occur before “delegated” in the ratified version of the amendment, however, it is among the weakest parts of the Constitution.

Traditionally, though, the states retained primary control of so-called “police powers,” the powers that form the legal basis for the economic lockdowns that have imprisoned most Americans for over a month now. Books have been written about this stuff so obviously I cannot relate all the details and nuances involved but ultimately they matter little in the present case. The key point is that police powers, national, state, or local, do not provide carte blanche to governments. Specifically, the Constitution constrains state police powers in numerous ways.

Importantly, courts see Constitutional rights as tradeoffs between conflicting interests. So while the Constitution says that the national and state governments cannot infringe individual speech rights, they can pass laws that make it illegal for an individual, for example, to falsely yell “fire” in a crowded theater. The notion is that the property and natural rights of the theatergoers trump the free speech rights of the liar.

Similar restrictions apply to the right of assembly. All Americans have the right to assemble with other Americans for any lawful purpose but state police powers, the positive duty of states to protect the physical safety of assemblers and non-assemblers, mean that governments may restrict assemblies through permit systems.

Similar arguments are made to defend the pistol permit systems common in many states. They are bogus but show how far courts go to balance one person’s rights with those of others. If you believe that gun control laws should be followed because they are laws passed by democratically elected representatives you have missed the point of the Constitution, which, again, is to constrain policymakers, to protect individual Americans from the national and state governments and also other Americans.

Just because a majority wants some policy doesn’t mean that that policy is a good idea, after all. I imagine at one point in March 2020 a majority of Americans might have thought it a good idea to deport, tax, infect, or maybe even kill Chinese-Americans in order to make “them” pay for what “they” did to “us.” (I don’t want to link to evidence of that … just look at your social media feeds if you need evidence.) That is a typically ugly human reaction to trauma but one that would have been proven empirically wrong as well as morally bankrupt and economically inane (sunk costs). Thankfully, the Constitution remained strong enough to prevent that horror.

It did not, however, prove strong enough to prevent state governments from taking their police powers too far. They engaged in fancy word play to hide the fact that they acted without a shred of precedent. What they imposed is not a quarantine, which constrains the movement of sick people, nor a cordon sanitaire, which locks people into an afflicted area, nor a protective sequestration, which locks people out of an unafflicted area. Instead, they have implemented partial martial law (military rule essentially) by imprisoning Americans in their own homes without due process of law and stolen their property by shuttering their businesses. (Some recompense has been attempted but of course only bluntly and at a cost to all taxpayers, including those in states that did not shutter most businesses.)

Remember, just because a state has general police powers doesn’t mean it can do whatever it wants, whenever it wants, simply because its actions are popular, or passed into law, or urged by some scientist. Imagine, for example, if some executive thought everyone ought to drink bleach, crazy as that seems, and actually mandated it. Would you do it? (Hint: Don’t do it! Even if some guy in a suit or lab coat tells you that you must.) What if some leader believed that the coronavirus is spread primarily by clothing and mandated that we all go naked in public, except for our masks and gloves of course? Or if one thought an EMP (electromagnetic pulse) would solve the problem (and destroy all computers in the process)?

Any promulgation that violates the Constitution, in any way, shape, or form, is null and void. A federal judge has the authority to declare any state law or executive order unconstitutional and demand that it be revoked. Judges generally give governments broad leeway to protect “public health” but the policies must be rational and they must weigh the rights of all involved parties. Historically, many government epidemic responses never got litigated because the crises passed before suits could be brought and because quarantines, cordons, and sequestrations can make rational sense in specific situations. But, again, state governments for some reason have tried to combat the novel coronavirus with novel policies that come with huge negative side effects for everyone — workers, consumers, and taxpayers — and that have and will continue to cause deaths, minimization of which is the ostensible goal of lockdown policies.

Why draconian lockdown rules have not yet been deemed unconstitutional I still do not know, but the fact that a former federal judge who teaches at Harvard apparently does not know the difference between a quarantine and a lockdown might provide a clue.

Another clue might come from the fact that the courts, like the rest of the country, are run by the people most at risk of dying from COVID-19. But at least lawsuits have finally begun to be filed in significant numbers

Once a federal court (especially SCOTUS, from which there is no appeal) declares a law unconstitutional, as SCOTUS has often done to state laws throughout US history, the political dynamic changes dramatically. States must comply or face that other side of federalism, where the U.S. government has the duty to protect American citizens from their own state governments under the 14th Amendment, one of the Constitution’s strongest.

The national government has intervened before, most dramatically during the Civil War, but as recently as the Civil Rights Movement. In 1957, President Dwight D. Eisenhower federalized the National Guard of Arkansas in order to enforce federal court rulings in Little Rock. Arkansas duly passed laws, highly popular laws, mandating the “social distancing” of people with different skin tones, but that did not matter because the federal government has to weigh all the Constitutional rights of all Americans. No matter what.

Similarly, President Lyndon B. Johnson federalized the Alabama National Guard in 1965 to protect peaceful protestors marching from Selma to Montgomery from Alabama state troopers. No joke, look it up.

Federalization of state military forces has plenty of precedent: Trump has already federalized some national guard units to help with coronavirus relief efforts in Washington, California, and New York (not to enforce lockdowns) and to “protect” the southern border, something that every president since Ronald Reagan, including President Barack Obama, has done. Richard Nixon federalized some units too, in 1970 in response to a US postal strike. President George Washington himself led federalized militia troops to put down a federal tax rebellion in western Pennsylvania in 1794.

If National Guard troops refused to follow the President’s orders, things could get ugly very quickly but hopefully matters will not come to that. After all, nobody (yet) wants to drag people from their homes, only to allow those who wish to engage in lawful commercial intercourse to do so, just like those students in Little Rock only wanted an equal education and those marchers simply wanted to exercise their First Amendment rights.

In a sense, then, Trump was right when he claimed that he has the authority to force states to re-open their economies, provided a federal judge declares state lockdowns unconstitutional and state governments refuse to comply with his or her order. 

In that scenario, the Constitution itself can be blamed for causing a spike in COVID-19 deaths should one occur after reopening.

We will not be trading off lives for lucre at that point, we will be trading off lives for liberty, just as I argued at the outset of the crisis. Now, let a politician say that we must give up the Constitution to save one life. I dare him or her!


Tyler Durden

Sat, 05/02/2020 – 00:00

via ZeroHedge News https://ift.tt/3aXtGGm Tyler Durden

Macau Gaming Revenues Down 97% As Travel Restrictions Take Toll

Macau Gaming Revenues Down 97% As Travel Restrictions Take Toll

April gross gaming revenues at Macau casinos are down a staggering 96.8% year-on-year to MOP$754 million (US$87 million), as tourism to the gambling mecca has virtually disappeared due to travel restrictions barring the entry of all non-residents aside from those from mainland China, Hong Kong and Taiwan.

Meanwhile, China’s Guangdong Province introduced a mandatory 14-day quarantine for anyone returning from Macau, including Guangdong residents, according to Inside Asian Gaming.

An attendant checks the temperature of a tourist at the entrance to the Galaxy Macau casino and hotel

For the first four months of 2020, Macau’s GGR is down 68.7% year-on-year to MOP$31.24 billion compared with MOP$99.74 billion over the same period in 2019.

Empty casinos

As IAG notes in a separate Friday report, Macau casinos are virtual ghost towns – with the MGM Macau seeing the most foot traffic for the third week in a row out of 11 properties surveyed.

On average, each gaming floor had around five players (37%) on tables and nine players (63%) on slots. MGM Macau was by far the busiest with 23 players at the tables and eight on slots, while The Venetian Macao came in second best with eight at the tables and 15 on slots. Once again, Sands Cotai Central was quietest with only a single slots player. –Inside Asian Gaming

Macau has had 45 confirmed COVID-19 cases,  3,792 suspected cases, 37 recoveries, and zero deaths.


Tyler Durden

Fri, 05/01/2020 – 23:40

via ZeroHedge News https://ift.tt/35lDMQr Tyler Durden

There Is No Exit From COVID-19, Only Containment

There Is No Exit From COVID-19, Only Containment

Authored by M.K.Bhadrakumar via The Indian Punchline blog,

From this point, the buck stops with the Modi government, as the country trudges along the Covid highway. The political move to tap into the residual spirit of Indian federalism in our highly polarised polity helped so far, as the central government could inject into its decisions a look of national consensus. Whereas, the central government took all major decisions and most minor decisions. 

However, the physical or material conditions vary from state to state while on the other hand, the time is approaching for the central government to make a thorny decision — when or how to restart the economy that was shut down almost overnight. 

Clearly, an economy of India’s size won’t start back up simply because the government so decided. The refrain is that the restart will be gradual. But the devil lies in the details. Under what circumstances will businesses be allowed to reopen? It seems certain regions and businesses / industries may be put on a fast track. The MSME sector, which employs 12 crore workers need special attention.

However, defining a yardstick will be difficult because the economy is a complex web of supply chains and interlocking pieces with a dynamics of their own. In an interview with the BBC Radio last week, the owner of Mahindra & Mahindra said he just couldn’t see any possibility of his company becoming operational before May 2021, since, amongst other things, it doesn’t make sense to make cars without the numerous suppliers and sales outlets first reviving and, importantly, until consumer confidence revives. 

Clearly, epidemiologists’ recommendations or the government’s decisions will not be the last word. If a manufacturer in Chennai depends on a part made in Ahmedabad, for example, where the virus is still spreading, a government fiat to start production becomes meaningless. Simply put, it is going to take much longer to thaw the economy than it took to freeze it. 

Then, there is the co-relation between a phased reopening of the economy and public health benchmarks. The best that can be said about the lockdown is that it probably slowed down the spread of the virus. But we’re chasing a chimera here. The authenticity of the figures available is in serious doubt. No one is to blame because tracking the coronavirus is difficult in such abnormal conditions of lockout.

Today’s New York Times reported that the coronavirus death toll in the US is actually far higher than reported. The FT also came out with a stunning report today that Britain’s actual death toll could be plausibly in the region of 41000, as against hospital death data that show 17,337 people having died.

The plain truth is that there is no “exit strategy” possible out of the lockdown in the absence of a vaccine or a proven therapy.

“We will have to learn to live with the virus,” French Prime Minister Édouard Philippe put it starkly on April 28, while outlining his plan to start reopening the country at the National Assembly in Paris, until a vaccine or effective treatment is available.

This stark reality ought to leave with the Indian states a free hand to develop their own road maps and decide either to persist in lockdown or pull themselves out in different ways and at different speed. What cannot be overlooked is that all this is taking place under the threat of a second global wave or outbreak — a disaster scenario.

Epidemics come in waves. In the Spanish flu pandemic of 1918, the deadliest in history, the first wave was nothing in comparison with the virulent second wave, which left a horrific trail. No doubt, this is a Catch-22 situation — whether suppressing the virus further to stall a repeat outbreak or the lifting of restrictions quicker to limit the economic fallout should take precedence. The biggest risk is that you open too fast, too broadly. 

The warning from Germany on lockdown easing conveys a sombre message. Only a week since the easing began in Germany with the reopening of shops (with all conceivable precautions put in place with characteristic Teutonic efficiency and thoroughness), it appears that Berlin may have to re-tighten its lockdown because the virus is spreading too fast.

The virus reproduction rate – measuring how many the average person with Covid-19 infects – increased to 1.0. (Any value above 1.0 is seen as leading to exponential increase in infections.) Chancellor Angela Merkel is on record that a rise to 1.2 ( of the so-called “RE number”) could mean hospitals reach a crisis point in July: “If we get to 1.2 people, so everyone is infecting 20 per cent more, out of five people one infects two and the rest one, then we will reach the limit of our healthcare system in July”.

Remember, this is one of the richest countries in the world — and a social democracy with a well developed healthcare system. It is a worrying sign. Surely, there are many variables swirling in the ether, and epidemiology is a complex business.

The bottom line is that with no vaccine or cure insight, the government will have to decide how many deaths would be acceptable to restore a shattered economy. If the “RE” number lifts after an easing of restrictions on 3rd May and we’re forced to back-pedal, the economic damage will be amplified, leave aside the potential to demoralise the public’s resolve. 

Mass testing of asymptomatic people appears to be the defining measure of success globally in tackling the virus, but in India, we lack the infrastructure for it. Time and testing are key and the longer a quarantine can be extended the better, and the more testing made available, the easier it would be to properly calibrate a reopening and respond to any new outbreak. No doubt, waiting until comprehensive testing provides a better map of where the infection has spread. 

Devi Sridhar, the chair of global public health at Edinburgh Medical School and director of the Global Health Governance program, recently tweeted on the three options open. Sridhar wrote:

“There are few short-term options.

1: Let the virus go and thousands die.

2: Lockdown and release cycles which will destroy economy and society.

3: Aggressive test, trace, isolate strategy supported with soft physical distancing.”

Having said that, the horrifying twin-reality still remains to be that an end to lockdown will by no means represent a return to normality, and, equally, a second, far more destructive wave is virtually an unavoidable possibility, notwithstanding the infection-reducing social distancing as a “new normal” in our daily life. 

Under the circumstances, while dampening public expectations may not be the best option in politics, public morale is best sustained on the basis of transparent, realistic communication. This is a long haul. Make no mistake that in the absence of a safe and effective vaccine and/or a safe and effective drug to eliminate the COVID-19 infection once it has occurred, our narrative narrows down to a containment strategy attuned to Indian conditions, quintessentially – which, by no means, becomes an exit strategy.  


Tyler Durden

Fri, 05/01/2020 – 23:20

via ZeroHedge News https://ift.tt/3fbsToN Tyler Durden

New Coronavirus Study Claims Outbreak Will Last Longer Than 2 Years As 2/3rds Of Humanity Infected

New Coronavirus Study Claims Outbreak Will Last Longer Than 2 Years As 2/3rds Of Humanity Infected

It’s been a while since we saw a study projecting an extremely dire endgame for the coronavirus outbreak.

Yet, as the battle over whether to reopen immediately or wait a few more weeks becomes almost universally-partisan, a non-peer-reviewed study out of the midwest projected that the virus could kick around for another 2 years, and that the outbreak won’t subside until more than 60% of the global population is immune, Bloomberg reports.

According to the research from the Center for Infectious Disease Research and Policy at the University of Minnesota, the coronavirus pandemic is likely to last as long as two years and won’t be controlled until about two-thirds of the world’s population is immune.

The report was written by CIDRAP director Michael Osterholm and medical director Kristen Moore, Tulane University public health historian John Barry, and Harvard epidemiologist Marc Lipsitch, whose name has appeared on other important coronavirus research and commentary.

Furthermore, because so many of those infected by the virus are asymptomatic or mostly asymptomatic, lockdowns and other aggressive measures might not be enough to stamp it out completely. This ‘invisibility’ is what makes SARS-CoV-2 such a challenging virus to contain.

This might help explain why Sweden’s approach has been so popular, while offering perhaps the best argument yet for why states might as well reopen. According to the researchers, the virus will likely keep on coming in waves perhaps until the end of 2022, or even longer, as drug companies scramble to develop a vaccine, or a cure.

Because of its ability to spread from person to person without the presence of symptoms, the virus will likely be much harder to control than the flu. The virus is deadlier than the flu, too – and certain mutated strains have been found to be significantly more virulent.

According to the report, people might actually be at their most infectious before symptoms even start to appear.

“Risk communication messaging from government officials should incorporate the concept that this pandemic will not be over soon,” they said, “and that people need to be prepared for possible periodic resurgences of disease over the next two years.”

That’s the last thing equity traders probably want to hear on Friday.


Tyler Durden

Fri, 05/01/2020 – 23:00

via ZeroHedge News https://ift.tt/2WfDGFK Tyler Durden

Oregon County Says “No Whites Allowed”

Oregon County Says “No Whites Allowed”

Authored by Simon Black via SovereignMan.com,

Are you ready for this week’s absurdity? Here’s our Friday roll-up of the most ridiculous stories from around the world that are threats to your liberty, your finances, and your prosperity… and on occasion, poetic justice.

“No whites allowed” safe space for employees of Oregon county

Do you know what’s been missing from the government’s response to coronavirus?

You might think– ‘more testing kits’, or ‘honest information’.

Nope. According to at least one county in the US state of Oregon, the biggest issue right now is establishing “safe spaces” where no white people are allowed.

This is how Multnomah County, Oregon is rewarding its employees who are working during the pandemic: the county government announced that one of their departments will host “a grounding space for Black, Indigenous, and People of Color (BIPOC) employees to share, heal, connect, and get grounded in a space that is not dominated by whiteness.”

The safe-space was announced in a daily report to county employees fighting coronavirus.

When asked, a county spokesperson assured the public that it is perfectly legal to discriminate against their white employees.

She explained, “The space excludes no one. It is based on shared lived experience not identity. The same way our employee resource groups for veterans, parents, and people with a disability are based on life experience and not identity. All are welcome here.”

Except white people.

Try to wrap your mind around that double-speak.

Click here to read the full story.

*  *  *

Police testing “Pandemic Drones”

Connecticut police will be testing a new “pandemic drone.”

It is so named because the drone is “equipped with a specialized sensor and vision systems that can display fever/temperature, heart and respiratory rates, as well as detect people sneezing and coughing in crowds, and wherever groups of people may work or congregate.”

The company that builds the drones announced the partnership with police.

“The technology can accurately detect infectious conditions from a distance of 190 feet as well as measure social distancing for proactive public safety practices.”

If you already think the government expansion of power and surveillance has gone too far, just wait until Robocop gets involved.

Click here for the full story.

*  *  *

Shocking: China loves the World Health Organization

We have been talking about the World Health Organization a lot over the past couple weeks.

Now, China decided to send an extra $30 million to the World Health Organization after the US announced a temporary funding freeze due to its missteps.

A Chinese official said the gift to WHO “reflects the support and trust of the Chinese government and people for the WHO”.

Just in case you needed another reason NOT to trust the World Health Organization.

Click here for the full story.

*  *  *

Congressional Budget Office sees a $3.7 trillion deficit this year alone

Tax revenue is drying up from a locked-down economy, at the same time spending is massively ballooning,

Over the past years we’ve asked rhetorically: if the US runs trillion dollar deficits during the best of times, what happens during the tough times?

Now that the world has hit the tough times, and the answer to that question is no surprise:The Congressional Budget Office estimates that this year’s budget deficit will be $3.7 trillion.

That means the government will spend $3.7 trillion dollars more than they take in from taxes.

To put that number in context, $3.7 trillion constitutes almost 20% of the entire US economy.

Click here for the full story.

*  *  *

And to continue learning how to ensure you thrive no matter what happens next in the world, I encourage you to download our free Perfect Plan B Guide.


Tyler Durden

Fri, 05/01/2020 – 22:40

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China Revives Centuries-Old Social Distancing Hat For Students

China Revives Centuries-Old Social Distancing Hat For Students

Students in eastern China wore social distancing hats as they returned to school following the coronavirus outbreak

Images and videos have surfaced on popular Chinese social media platforms of students wearing self-made airplane winged hats on their heads and face masks in a classroom. 

“The longest ever winter vacation for Hangzhou’s elementary students ended this week, as first to third grades returned to the classroom. One school in the city, Yangzheng Primary School, gave its students an early assignment: fashion their own homemade “one-meter hats,” to remind the youngsters to stay a meter apart at all times,” reported RT News

Social distancing hats were only to be taken off during lunchtime, local media said. While walking through doorways and narrow hallways, students had to navigate carefully. These hats have become mandatory in Hangzhou for all students. 

About two hours north up the coast, Shanghai welcomed back middle and high school students. Schools across China have reopened in the last several weeks. Wuhan, the hardest-hit area in China, reopened earlier this month. 

It seems like social distancing hats have been around for centuries. Possible revival? 

Someone has made a social distancing hat with lasers. 

American educators are studying how China is reopening schools amid the threats of another coronavirus wave. Social distancing hats are likely coming to the US when schools open. 


Tyler Durden

Fri, 05/01/2020 – 22:20

via ZeroHedge News https://ift.tt/3bUalHG Tyler Durden

Why Michael Flynn Was Set Up

Why Michael Flynn Was Set Up

Authored by Roger Simon via The Epoch Times,

The more we learn about the evils done to Michael Flynn, and they increase day by day, the more the FBI comes to resemble the KGB.

Or is it the earlier version, the NKVD, whose leader Lavrentiy Beria famously declared “Show me the man and I’ll find you the crime.”

James Comey – the head of the FBI during this period of extraordinary moral turpitude – never said anything anywhere near that pithy or memorable but he did Beria one better. He, with Peter Strzok, whose feckless emails to his paramour continue to amaze, and various other bit players – some revealed others yet to be revealed – of this sorry saga, didn’t just find a crime, they invented one.

In all fairness, the Soviets, pre and post-Beria, often did the same, putting the darkness in “Darkness at Noon” with forced confessions as in the Metro-Vickers Affair (1933) when innocent Brits took the hit for the failure of Stalin’s “Five-Year Plan.”

What was really going on with what was essentially the “forced confession” of Michael Flynn?

Attorney Andrew C. McCarthy said on Tucker Carlson Thursday night that Flynn wasn’t the target. It was Trump. Flynn was just a “seasoned intelligence professional” (McCarthy’s words) who had to be implicated and put out of the way in order to reach the president, the real bull’s eye.

That’s likely true, but it’s also likely that wasn’t the only reason. Flynn was by himself a target.

During the transition, it is said Obama gave Trump two pieces of advice on whom he considered to be the current greatest threats to the United States, so the new president could be forearmed—Kim Jong-un and Michael Flynn.

Michael Flynn? (I’d add several exclamation points and question marks, but it’s tacky.). Why would he be of anywhere near that importance to be put in the same conversation as the nuclear-armed dictator of North Korea?

The answer, I believe, is a four letter word: Iran.

The Iran Deal (Joint Comprehensive Plan of Action or JCPOA) was, with the Affordable Care Act, one of the twin pillars of Obama’s presidency on which he wanted to base his legacy.

I’m not going into here the many theories of why, beyond that legacy, Obama was so attached to the JCPOA, but, by the time Trump was elected, it was already under heavy criticism due to the Islamic Republic’s violent activities in the Syrian civil war and elsewhere, arming Hezbollah, Hamas, the Houthis and other proxies with moneys that came via America and—naive as it now sounds—were supposed to be for the improvement of the lives of the Iranian people.

Flynn was known to have been one of the most adamant opponents of the Iran Deal within the Obama administration in the first place and, with his military record as a three-star general plus aforementioned intelligence expertise, perhaps the most powerful one.

So bringing down Flynn was a two-for, striking a blow at the new president while hopefully helping to preserve the Iran Deal. The second part didn’t work, but the first did… for a while.

It’s therefore not totally surprising—what is these days?—that the newly-revealed documents have “SCO “ (Special Counsels Office) scrawled on them, among other incriminating notes indicating a “setup” was in the cards for Flynn.

That means these statements exculpating Trump’s newly-appointed National Security Adviser went to Mueller’s office where someone (Mueller? Weissman?) ignored them and continued with what Trump has colloquially, and I think too loosely, branded a “hoax.” It was far more than that. It was a form of defenestration.

When we look for the Mr. Big in all this, as we are tempted to do as—we can be more confident now— more rolls out, we should not settle for James Comey, as culpable as he may be. This bizarre character who self-identified on Twitter as the theologian Reinhold Niebuhr is not the end to the story.

We are looking at a Netflix series with a plot that gets increasingly complicated. It goes past Comey and into the intelligence agencies and the State Department—a real life version of “Scandal” with, I regret to tell show runner Shonda Rhymes, the liberals and progressives almost always the villains.

When it reaches Brennan and Obama, it may not even end there. Maybe even John Durham doesn’t know. (Kidding. I hope.)


Tyler Durden

Fri, 05/01/2020 – 22:00

via ZeroHedge News https://ift.tt/3fdP5hS Tyler Durden

“Gone In 60 Seconds” – 19 Children In North Carolina Steal 46 Cars From Dealerships 

“Gone In 60 Seconds” – 19 Children In North Carolina Steal 46 Cars From Dealerships 

Crime has increased during every recession since the 1950s. As people lose their jobs, they sometimes resort to theft and robbery to compensate for lost income. As a depression unfolds across America, a group of 19 kids, ages 19 to 16, have been accused by law enforcement for stealing over a million dollars in vehicles from dealerships under the cover of the pandemic. 

The thefts began on March 17, and occurred across numerous auto dealerships in Winston-Salem, North Carolina, reported WXII NBC.

Winston-Salem Police said 18 break-ins were reported at dealerships in the region, along with two in Kernersville. 

In total, 46 vehicles were stolen, worth about $1.14 million. Police said all but three were recovered. 

It appears these kids were just shy of the 50 mark, something that movies buffs would know if they’ve seen the movie “Gone in 60 Seconds,” where Nicolas Cage had to steal 50 luxury cars in one night to save his brother from a crime lord. Now there were no reports suggesting the kids were working for an organized crime organization, that would take the cars and part them out or load them up in sea containers for overseas clients

But there’s something that is troubling to us. How the heck did they kids get a hold of the technology, remember, most cars today need key fobs or laser cut keys – to start these vehicles?

Police have been denied custody orders from the Forsyth County Department of Juvenile Justice for the children. They said one adult was arrested, 19, Mekeal Binns, was charged with possession of a stolen motor vehicle, and remains in Forsyth County Detention Center.

Here are some of the dealerships the kids targeted: 

  • Flow Honda, 2600 Peters Creek Parkway
  • Flow Lexus, 801 Jonestown Road
  • Enterprise Rentals, 3080 University Parkway
  • Parkway Ford, 3150 University Parkway
  • Flow Audi, 465 Silas Creek Parkway
  • Modern Infinity, 1500 Peters Creek Parkway
  • Bob King Kia, 1725 Link Road
  • Modern Toyota, 3178 Peters Creek Parkway
  • Volvo, 701 Peters Creek Parkway
  • Parkway Ford, 2104 Peters Creek Parkway
  • Flow Subaru, 425 Silas Creek Parkway
  • Flow Chevrolet, S. Stratford Road

Map of dealerships that saw thefts 

Authorities have asked the dealerships to better secure cars during the virus lockdowns. Looting was also seen in South Carolina in early April during statewide stay-at-home orders.


Tyler Durden

Fri, 05/01/2020 – 21:40

via ZeroHedge News https://ift.tt/2SpRUCO Tyler Durden