By Wang Wei, Liu Tao & Li Hanqing, Research Team on “The Analysis on the Impact of Novel Coronavirus Pneumonia and Countermeasures”, DRC

Research Report, No. 22, 2020 (Total 5766) 2020-2-28

Abstract: Since the outbreak of novel coronavirus pneumonia, consumption service industry and some of the livelihood-related service industries have witnessed a severe shock, and it is predicted that the downward pressure on service industry in the first quarter this year will increase significantly and it will rebound and become stabilized in the second quarter. It needs to be pointed out that there are some newly-emerged service demand and supply during the prevention and control of the epidemic, which has played an important role in effectively fighting against the epidemic. Besides, it has also reflected future market demand and development trend of technological innovation. At present, to put into effect the overall plan of the epidemic prevention and control and relevant requirements for economic development, work needs to be done to resume service industry’s development in an orderly manner, and foster new growth points for high-quality economic development in step with the overall development trend so as to promote the innovation development of service industry. To this end, more proactive and effective measures need to be adopted: 1. Efforts need to be made to further reduce the burden on enterprises of service industry seriously affected by the epidemic, and encourage them to restore normal performance through production and cooperation; 2. The growth of new business formats and new models of online consumption service needs to be accelerated; 3. The interaction and integration of productive service industry and manufacturing industry need to be enhanced; 4. The governance capability of service industry needs to be promoted; 5. The institutional guarantee for flexible employment needs to be fleshed out.

Key words: epidemic, service industry, short-term shock, new trend, policy options