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RCK Burdekin
The 1918-1919 Spanish Flu represented the biggest worldwide health threat prior to the 2020 coronavirus pandemic. Although its mortality effects have been widely studied, much less has been done to assess its economic and financial impact. This mini review incorporates findings from recent studies of the Spanish Flu’s effect on economic performance and stock market performance in the United States and worldwide. Although US impacts may have been very short-lived, more pervasive effects seem evident in other countries. It also appears that contemporary stock market participants reacted significantly, and negatively, to the surging death rates that were seen during the Spanish Flu.
“In the year nineteen eighteen
We’re killed by the disease called influenza
Which finished our beloved relatives
Mothers, fathers, sisters and brothers
In other households no one was left
It took young women and men
It chose the beautiful ones
It even took the good looking men
It took the teenagers
It took even the young maidens
It took the engaged ladies
It took the strummers (bridesmaids)
Even the grooms
It was like there was a black cloud over the earth”
(First stanza of “Influenza 1918” by Reuben Tholakele Caluza -- as presented in English translation by Okigbo, p. 96)