Quote:
Originally Posted by RickFLM4
How does easing restrictions reduce output compared to restrictions that basically treat everyone as infected? They will certainly have infections, like everyone, but easing restrictions should allow some level of higher output (and consumption) even if there are tens of millions of people who get COVID.
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It reduces output compared to everyone factoring in a step function Covid reopening in China. People going to get sick and need to sleep/recover. American companies in large part need China running full steam for supplies. Onshorting is a long term play and may only be impactful to some industries or companies.