The epidemic had a profound impact on the lives of ordinary people. People’s habits of earning, spending and saving also changed.
Year Ender 2020, COVID-19 Pandemic: At the beginning of the year 2020, only one such epidemic knocked, which became worse with the passage of months. Now the year is about to pass and the world is still facing its catastrophe. It is not possible to make an accurate assessment of the damage caused by this COVID-19 epidemic to the world. The focus of the entire world, including India, is currently on providing an effective COVID-19 vaccine. In the midst of all this, the epidemic had a profound effect on the common people as well, the habits of people from earning to spending and saving or investing also changed. Let us understand this pointwise.
New earning opportunities
During the epidemic where thousands of people lost their jobs. Many small businesses were affected. At the same time, many new ways of earning in this era also emerged. People started many businesses sitting at home. Many housewives started tiffin service at the time of lockdown. There have been many people whose jobs have gone, they started small businesses ranging from wellness products, groceries to home delivery of fruits and vegetables. Developed digital platforms for this. On the other hand, young boys or girls with creativity in them started their own YouTube channels. There were many other channels like learning to cook, making masks, home decor, gardening. These channels became a fixed income channel.
The epidemic and lockdown shifted skilled and professional people to the digital way. Professionals started offering online teaching, dancing or music not only in the country but around the world. It became a source of a new kind of income.
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Spending habits change
During the Corona era, it is clear that expenditure on health and use of technology has increased. In the epidemic, the focus was on healthy food. Generally, to increase immunity, every person has increased his or her level. Therefore, people have increased their spending on quality food, nutritional value food. People avoided buying clothes without any reason. However, online shopping grew in every category. On the other hand, the expenses of multiples were replaced by movies on the OTT platform. Due to work from culture, people’s expenditure has increased on essential devices and gadgets.
The increased importance of savings/investment
Financially, the epidemic taught a big lesson about saving and investment. The importance of saving and the family value was understood among the people, especially among the youth. In simple words, instead of consuming more and more, people showed seriousness towards saving and investment. Instead of loans, people have shifted themselves towards ‘earn, save and invest’. That is, the epidemic has brought us from credit culture to savings and investment.
5 lessons to be learned
Now let’s talk about learning. Certainly, the corona epidemic has provided many important lessons from an economic perspective. Which we must obey. We understand this in five points.
Emergency Fund:
The worldwide disaster made it clear that you should be prepared to deal with any situation in the job or life. For this, it is most important that we should always keep an emergency fund of at least 6 months. An emergency fund means that you can run your expenses without any problem for that long.
The second source of income:
The epidemic is also a big lesson that we should also wait for a secondary source of income. This is because if for some reason your primary income gets affected, which is a regular income.
Health Insurance:
In view of the increasing expenses of hospitalization and the state of sudden epidemics, health insurance is now a mandatory requirement.
Avoid wasteful expenditure:
Due to the epidemic, lockdown explained one thing that there are many such expenses, without which we can live comfortably. For example, one should avoid shopping without necessary.
Do not increase liability:
One thing that should be tied is to avoid taking loans without any reason. That is to say that unless necessary it should not increase its liability.
