SARS whacks Asian, Australian economies

SARS whacks Asian, Australian economies



SARS is causing the worst economic crisis in Southeast Asia since the wave of bank failures and currency devaluations that swept the region five years ago. The economies of Hong Kong, Singapore and Taiwan have not just abruptly stopped growing but have begun shrinking, the economies of Malaysia and Thailand are probably next and even China’s booming industrial expansion is beginning to slow, said Andy Xie, an economist with Morgan Stanley.”


Why? Because people are staying home, not shopping. Buyers aren’t going to trade shows. For example, restaurants are empty so they have stopped ordering fish which in turn hurts Australian fisherman who supply them. Multiply that kind of chain reaction by ten thousand, and you get an idea what’s happening.