Answer to Question #247829 in Macroeconomics for Lilitha

Question

Effects of Covid19 on output in south Africa

Answer 1

By 2020, South African's GDP had dropped by about 5%. Some income generating activities such as tourism and export of products were affected negatively. Moreover, lock down reduced the number of working hours making business firms to close early in the day. Additionally, a good percentage of people lost their jobs due to the closure of industries, hence the output in South Africa reduced.