Idea To Minimize the Economic Impact of Coronavirus
This is a temporary idea to prop-up our economy amidst the current extraordinary #coronavirus circumstances:
Suspend all rent, loan and mortgage payments, between all parties, for a period of 60* days, without any penalties or accrual of interest.
*originally suggested 30 days, but that’s obviously not enough time
This would help prevent individuals and businesses that are fiscally solvent under ordinary circumstances from being shocked into insolvency due to health measures taken to protect against the spread of the coronavirus.
For example, a restaurant that employs 15 people and typically earns enough to pay all its bills, but suddenly has zero revenue because all their customers follow advice and stay home.
A few points to consider:
- This would benefit both individuals and businesses in a way that gets at the heart of the economic problem (sudden and severe dip in revenue that would otherwise not be offset by a dip in rent and loan payment obligations)
- I’m not sure whether or not the government has authority to enact these measures for loans and other contracts between private parties.
- The corona virus is probably a “force majeure” event, meaning it’s outside of a party’s reasonable control and prevents that party from performing its obligations under a contract.
This obviously would not fix everything, but it’s a solid beginning.
If you think this is worthwhile, refine the idea and share it with influential people who could make it happen immediately.
