2009-04-27

Mexican Swine Flu

SARS shaved a few percentage points from Chinese economic growth. If the Mexican swine flu triggers similar public health responses, we can expect another few percentage points off of global GDP.

Update: Journalists attribute every bounce in the stock market to the swine flu. If stocks go up, investors ignored swine flu. If stocks drop, it's due to swine flu. The reality is that short of a pandemic, the flu outbreak will have little effect on anything, least of all the stock market. It's another example of why you should ignore the financial media.

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