"Fundamentally, coronavirus will have a short-term impact on the stock market, likely less than one year," predicts Tenpao Lee, professor of economics at Niagara University, Lewiston, N.Y.
"With our global economy and the fact that China--whose economy is virtually paralyzed by the virus--makes up about 16% of that, the economic ripple effects will be felt around the world. The supply network has been broken and a significant portion of the global economy is halting. Recession, affecting developed and developing countries, is inevitable in the first two quarters of 2020.
"It is possible that 2020, in its entirety, will see a severe recession as a new global supply network develops. In the meantime, some demand for goods and services could disappear permanently, especially in the travel and tourism industries."
He adds: "From the aggregate supply side, many production factories are closed. As a result, the aggregate supply curve will shift to the left with higher prices and lower quantity.
"On aggregate demand, consumers staying home and spending less money to...