A top Federal Reserve official called for a “really hard” lockdown lasting “four to six weeks” to save the economy.
The call for the shutdown as coronavirus cases in the US continue to climb past 4.6million, with more than 154,00 deaths.
He admitted people will be “frustrated” – but that it may be key for the economy.
“But if we were to lock down hard for a month or six weeks, we could get the case count down so that our testing and our contact tracing was actually enough to control it the way that it’s happening in the Northeast right now,” Kashkari said.
He added: “Now, if we don’t do that and we just have this raging virus spreading throughout the country with flare ups and local lockdowns for the next year or two, which is entirely possible, we’re going to see many, many more business bankruptcies, small businesses, big businesses, and that’s going to take a lot of time to recover from to rebuild those businesses and then to bring workers back in and re-engage them in the workforce.
“That’s going to be a much slower recovery for all of us,” he told CBS. Many parts of the country in recent weeks have gone back into lockdown.
Last week, a federal report revealed 21 states were in the “red zone” – meaning they had a high case increase. The US GDP plunged 32.9 percent, and last week, another 1.43million Americans filed for unemployment.