Re:Tech Sector Feeling Covid-19’s Economic Pain
by tharne on Friday July 31, 2020 @06:15PM
(#24014854)
The entire economy is not disintegrating. There's a temporary pause in spending as a result of external forces. This is much different from the economy actually disintegrating, like we saw in 2008. Then, the actual financial mechanisms that the economy needs to function were blowing up. There were factories that had paying customers trying to place orders, but they couldn't fill the orders because short-term credit was frozen.
We're in a bad situation right now, but the economy itself is functioning, it's just running a lot cooler than usual.
With our entire economy disintegrating, the tech sector isn't going to be spared.