The Strategist

Bloomberg: Global economy undergoes major transformation

08/30/2021 - 08:36

During the coronavirus pandemic, when millions of people around the world found themselves isolated and forced to switch to remote work, the global economy underwent a massive transformation.

As Bloomberg writes, many companies are now favoring the so-called new "hybrid" form of work. It's a combination of remote and office work.

The agency notes that the pandemic has shifted the appeal for workers from big cities to other places to live.

As economists calculated, the shift to "hybrid" work will deal a serious blow to the economy in U.S. city centers. This is where the biggest exodus of people has been shown to occur in the pandemic. This was provoked by the fact that a large number of employees worked remotely.

In addition, there was a sharp drop in sales in cafes, stores and hair salons. Due to the lack of need to travel to the center, the use of public transport has dropped sharply. 

According to experts, the transformation of the form of work will have painful consequences for many urban businesses.

At that, there is a silver lining: small towns and the suburbs could be revitalized by the restructuring. Here, the demand for real estate has grown.