Coronavirus pandemic is not “Black swan” — it could have been prevented given that there was enough data available, according to Nassim Taleb, the proposer of the Black swan theory.
Black swan events occur unpredictably and have a huge impact on global markets, politics and people’s lives. Nevertheless, Taleb believes that the coronavirus pandemic was predictable, so it cannot be put on a par with the September 11 attack and be considered a “black swan”.
“We issued a warning that it [the coronavirus] needs to be killed in the bud and we must act quickly,” Taleb highlighted.
Taleb said political leaders in almost all countries have ignored this warning. The exception was the Donald Trump administration, which limited air traffic to China at an early stage to the spread of coronavirus.
According to Taleb, the further developments is unpredictable, so companies should not rush and return their employees to work, even if the authorities order them.
Taleb also criticized entrepreneurs who were not ready for a pandemic. He explained that the government is now saving only those companies and investors who did not have an airbag from bankruptcy, and added that now everyone is paying for their mistakes. Taleb pointed out that the business must have a survival strategy in a crisis.