Economic challenges

during lockdown

Jhona Mae C. Cobrador

12 - Selene
 CHAPTER 1
THE PROBLEM AND IT'S BACKGROUND

Rationale

The Coronavirus desease 2019 (CoVid-19)

pandemic cause by SARS COV2 is of unprecedented
global public health concern (Dothan H.A, 2020).
The World Health Organization declared COVID-19 a
global pandemic on the 11th of March 2020, but the
world is still reeling from its aftermath. The COVID-
19 pandemic, which started in Wuhan has led to a
dramatic loss of human life worldwide, the deep
recessions triggered by the pandemic are expected
to leave a long lasting scar to everyone. Many
countries now face multiple crises a health crisis, a
financial crisis, and a collapse in commodity prices,
which interact in complex ways. According to World
Health Organization (WHO) "Tens of millions of
people are at risk of falling into extreme poverty,
while the number of undernourished people,
currently estimated at nearly 690 million, could
increase by up to 132 million by the end of the
year". In efforts to isolate cases and limit the
transmission rate of the virus, while mitigating the
pandemic countries across the globe implemented
stringent measures such as mandatory national
lockdown and border closures.

The world economies, has been shutdown

promting the governments to impose drastic
lockdown measures of the economy and the
society. The COVID-19 pandemic has forced
governments around the world to implement
unprecedented lockdowns, mandating businesses
to shut down for extended periods of time.Previous
studies have modeled the impact of disruptions to
the economy at static and dynamic settings
.Without documented experiences to rely on,
governments are resorting to trial and error
approach in creating a lockdown exit strategy while
preventing succeeding waves of cases that may
overwhelm healthcare facilities."The pandemic has
decimated jobs and placed millions of livelihood at
risk, with border closures, trade restrictions and
confinement measures have been preventing
farmers from accessing markets, including for
buying inputs and selling their produce, and
agricultural workers from harvesting crops, thus
disrupting destic and international food supply
chains and reducing access to healthy, safe, and
diverse diets", stated by World Health Organization
(WHO). Low and irregular incomes and a lack of
social suppor, many of them are spurred to
continue working, often in unsafe conditios, thus ex
posing themselves and their families to additional
risks.
 In Philippines, witnessed a slower economic
growth in the first half of 2019, compared to 2018."
The country saw a sustained economic growth of
6.3% between 2010 and 2018, while the growth
slowed down to 5.5% in H2 2019. Philippines to
witness full-year 2019 economic growth of 5.8%",
estimated by the World Bank.The Central Bank of
the Philippines (BSP) noted that the coronavirus
outbreak could have a major impact on Philippine
economy over the next few months.Ruben Carlo
Asuncion, chief economist for Union Bank of the
Philippines, "noted that the coronavirus outbreak
could cost the Philippine economy $600m or 0.8%
of economic growth if it lasts for six months, as
quoted by CNN Philippines".With more than 400
economic zones under lock-down, approximately
700 factories have been shut down displacing
hundreds of workers. The Philippines government is
a stimulus package of approximately 200 billion
pesos ($3.93bn) to protect the citizens and
businesses from the impact of the coronavirus
outbreak.

In Argao, small or even a big business has

been closed and the workers loses their jobs. Public
market has been closed that lead to everyone to
wait for the foods given by the governments,
farmers also affect by the lockdown they can't sell
their veges due to lockdown, In result some of the
veges dried and damaged. It was really difficult for
the less fortunate ones in the society to cover up.

Millions of people suffer this CoVid-19

pandemic. The COVID-19 health crisis has turned
into a global economic crisis, putting at risk the
health, jobs and incomes of millions of people
around the world. The intention of our study is to
know how greatly impact of lockdown in our
economy due to CoVid-19 pandemic.
 It is important that this study should be
given attention because one's knowledge about our
economy would our priority. These would help us to
know how this pandemic affects everyone's life.
The relevance of the study is for us to know
what should we need to know in terms of what's
happening in our economy due to this CoVid-19
pandemic lockdown.

Statement of the Problem

This study generally formulated a question;
What extent does has production and
operations of your firm been affected by this
pandemic?

Specifically this study aims to answer the

following questions:
 1. What are the reasons for the suspension of
production and operations?
2.What extent should expect this pandemic will
affect your firm’s development in the first
quarter of 2020?
3.What has been the effect on our city’s
economic (GDP) growth in the first quarter of
year?
4.What are the expectation for the next year?
5.In what way does Argaoanon cope up this
economic challenges due to this lockdown?

Significance of the Study

This study is significant because it can provide a
knowledge for us to know how greatly affect
lockdown to the economy. CoVid-19 pandemic is a
great hindrance for us, all we need is to find ways to
cope up and fight this pandemic.
 CHAPTER II
Review of Related Literature and Studies

Review of Related Studies

The study of Addressing the Social and
Economic Impact of the COVID-19 Pandemic stated
that, "Risks remain tilted to the downside, with
Capital Economics seeing a longer downturn for the
global economy due to the following factors: (a)
direct virus-related disruption that lasts longer than
expected; (b) risk of lengthier recession or even
another financial crisis as companies turn insolvent
while central banks have limited monetary space,
resulting in higher unemployment and a further
downturn in consumer spending.There is a high
level of uncertainty surrounding the current
situation, given that there are still many unknowns
concerning COVID-19. Related economic indicators
also remain limited. The estimates presented here
are therefore based on scenarios and certain
assumptions. The estimated transitory impact also
does not yet take into account potential gains from
mitigating measures. The main purpose is to flag
risk areas as a basis for discussing appropriate
responses". Reported by NEDA, 2020,"In total, given
the simultaneous adverse effects on the supply and
the demand side of the economy, we expect a
cumulative loss of PHP428.7 to PHP1,355.6 billion in
gross value added (in current prices), equivalent to
2.1 to 6.6 percent of nominal GDP in 2020. Without
mitigating measures, this wouldimply a reduction in
the Philippine’s real GDP growth to -0.6 to 4.3
percent in 2020. The government’s swift and
appropriate response remains crucial in the
softening the blow of COVID-19, particularly on the
most vulnerable members of our society." In series
of revelatory reports (Daszak, 2012; Ford et. al,
2009 ; Webster, 1997) experts across professional
cadress has long predicted a worldwide pandemic
would the elements of global supply chains and
demands, thereby igniting a cross border economic
disaster because of the highly interconnected
world we now live in. However, as highlighted by
Naidoo and Fisher (2020), our reliance on
globalization and economic growth as drivers of
green investment and sustainable development is
no longer realistic.
Review of Related Literature
In several studies regarding the said
approach are already conducted in all parts of the
world. In fact the study of A critical analysis of the
impacts of COVID-19 on the global economy and
ecosystems and opportunities for circular economy
strategies stated that, however shattered the core
sustaining pillars of the modern world economies as
global trade and cooperation succumbed to
nationalist focus and competition for scarce
supplies. Against this backdrop, this paper presents
a critical review of the catalogue of negative and
positive impacts of the pandemic and proffers
perspectives on how it can be leveraged to steer
towards a better, more resilient low-carbon
economy. In the absence of a vaccine, there is a
need to“flatten the curve” to avoid overwhelming
each country’s healthcare system (Flaxman et al.
2020).

According to the study of The Economic

Impact of Lockdowns (2020), causing direct
economic losses during the closure, the extended
lockdowns pose the socioeconomic risk of
irreversible closure of businesses, with the
attendant ripple effects. Extreme measures such as
lockdowns and mandatory business and school
closures have been implemented in most countries
(Ullah and Khan 2020).Travel restrictions remain
(International Air Transport Association 2020),
causing airlines to incur losses. Tourism-intensive
economies have experienced increasing
unemployment resulting from the decline in
tourism demand (United Nations Conference on
Trade and Development 2020).
 CHAPTER III
Research Methodology

Research Design
The study used a descriptive research
design in describing the economic challenges
specifically in Argao. In terms of the respondents, a
purposive sampling of people in Argao. The study
incorporated the insights of students after each
topic had been discussed using Paideian Approach
in determining the economic challenges during
lockdown in Argao. In assessing the learning
experience s or insights of the learner's, the study
utilized a checklist for them to answer it.

Research Environment
 The study was conducted in Argao, Cebu.
Argao, officially the Municipality of Argao, is a 1st
class municipality in the province of Cebu,
Philippines. According to the Census(2015), it has a
population of 72,366 people. Out of the population
the study focused on selected people in Argao.

Research Respondents
The researcher conducted the study using
purposive sampling. This meant that a good
judgement was used in the selection of the
respondents, the people in Argao. The researcher
chose them to assess the full extent of the
approach.

Research Procedure
 The study asked for the approval of the
Principal of Argao National High School, (see
appendix A). With the approval a letter of informed
assent to the parents was sought to inform them
about the conduct of the study, and this was done
during the orientation, when they were invited. The
study proceeded by patting the respondents take
the Pre-Test (see Appendix C) in which questions
are being categorized based on Bloom's Multiple
Intelligence Revise (see Appendix D) and was
validated by experts. After the given time, the
validation on the efficacy of the experimented
approach was followed up by means of the post-
test (see Appendix E) . Once the post-test had been
recorded , the validation on the academic
performance was made through the set of statistical
treatment T-Test . On the other hand respondents'
learning experiences were measured by means of
simple mean-percentage.
Research Instrument
To determine the Argaoanon's economic
challenges the study utilized the validated questions
coming from the respondents TG to serve as pre-
post test given to them before and after the
utilization of the said approach. A Table of
Specifications was made as basis of the construction
of Multiple Choice suited from Bloom's levels of
thinking skills vis-à-vis the Paideian skills. Aside from
that, the study also made use of using reflective
questionnaires for the respondents.

Statistical Treatment

1.To determine the mean gain of the people

in Argao from the the Pre-Test to the Post-Test of
the subjects, the Z-test of the pre-post mean gain
was used using this formula:
 2. Aside from the Z test the
researcher would also used the T test of
mean difference. Using Paideian Approach.