COVID-19 is now officially a Pandemic
The WHO after many weeks of dithering has finally declared
COVID-19 a pandemic. Most scientists and
healthcare professionals already had been treating it as such anyway. Scientific advisers to Chancellor Merkel warned her that as many as 2/3 of all Germans may contract the coronavirus and
she needed to attack it seriously and immediately as a major pandemic. The US, as many had urged for weeks, is finally ramping
up testing and found 313 new cases today – more than the cumulative total for
weeks up to March 5th. The
stock market took another major tumble today with the Dow now down more than
20% - forecasting a recession is coming to the US. (These forecasts are sometimes scoffed at
since the Dow has forecast 9 of the past 5 recessions.) Is the world ending? Is there any good news?
I think the risks are many and they are far more likely than
optimistic scenarios painted by Trump, but there are some signs that the world may avoid some of the near apocalyptic scenarios if governments act forcefully and quickly.
1. The Chinese
contagion has finally broken its fever with just 18 new cases and 11 new deaths
- record low case number for China last seen Jan 15th – 8 weeks
ago. These numbers and the number of active case have been trending down for more than 3 weeks now. If China doesn’t suffer reinfection,
it means that the US might only suffer similarly until the end of April. Of course, this assumes that the US adopts
similarly draconian measures as the Chinese – not a slam dunk given today’s
political environment. Following the
Chinese containment model as the Italians appear to be doing now will set back
any country’s economy severely for at least 1-2 quarters.
2. Some countries
appear to have escaped any major fatalities.
For example Norway has 629 confirmed cases and hotness of 116 per million
citizens and yet has suffered no deaths. The apparent
mortality of zero, although statistically significant, is very misleading since case count has exploded in recent days. The lagged5 mortality of 0/113, that is 0 out
of 113 confirmed cases 5 days ago in Norway, is also misleading because Norway has
only had one resolved case so far so the lag time between disease diagnosis and resolution may be
longer than 5 days especially since we suspect that they may be doing a better than average job of testing
potential cases early like South Korea.
So even though Norway and its neighbor Denmark (514 case with no deaths)
are hot and show zero mortality on all 3 of our measures, it is still too early to
say whether they provide an optimistic model for testing, tracking, and
treatment of COVID-19 that may be emulated by other countries. There is another country, though, where
optimism may be justified and that is Singapore. It has experienced the coronavirus outbreak
for more than two months already. And yet
it still has 0 fatalities out of 178 confirmed cases (coincident). It also has 0/130 mortality on a 5-day lagged
basis. In fact it has zero mortality on
a resolved basis as well with 96 recovered patients and no deaths. This is beginning to be statistically significant
and rules out some of the more apocalyptic scenarios envisioned by some. It may make sense for researchers to look at
how Singapore test, track, and treat potential victims and how they restrict
travel, activity, and quarantine to protect their citizens.
Is this a typo? "These forecasts are sometimes scoffed at since the Dow has forecast 9 of the past 5 recessions."
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