Professor Forman

A Rational Approach to
The Coronavirus Economic Reopening
Step 1

A rational approach to decisions about opening the economy as the impact of the Coronavirus subsides requires consideration of both risk facing and risk taking. (See Facing Risks vs. Taking Risks)

Step 1) Identify alternative strategies. 
For example: opening up MLB:

  • a) No fans, only broadcasting
  • b) Limited number of fans;
  • c) … increments until full attendance

or for example: opening up restaurants

  • temperature check each patron
  • minimum table separation
  • …..

Conduct collaborative brainstorming, either in person or distributed on-line, to include ideas from diverse individuals and groups.

Identify the pros and cons of each of the strategies, including risks. Pros and cons for one of the alternative strategies is shown here:

Identify objectives suggested by the pros and cons.

For example, the risks of spreading Covid-19, risks for employees contracting Covid-19 and risks of patrons contracting Covid-19 are included under the Safety and Health objectives cluster. These risks will be evaluated in step 2, along with the lack of adequate screening which is a source or cause of these risks. The tradeoffs between the risks and economic and welfare benefits are addressed in step 3.

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