America Failed at COVID-19, but the Economy’s Okay. Why?

Here is a remarkable, underappreciated fact: The U.S. economy has performed far better than that of many of the country’s peers during this horrible year. The International Monetary Fund expects the U.S. economy to contract by 4.4 percent in 2020, versus 5.3 percent in Japan, 6 percent in Germany, 7.1 percent in Canada, and nearly 10 percent in both the United Kingdom and France.

This fact is not a result of the United States managing its public-health response better than those countries, allowing it to reopen from lockdown sooner and for consumption to roar back. Indeed, many of those peer nations have had significantly better outcomes, as COVID-19 caseloads, hospitalizations, and death rates. Nor is it a result of the U.S. preserving more jobs. The unemployment rate is far higher here