Jeremy Hussel had a great comment pointing out something which is easy to forget – major disasters often have multiple quasi-independent causes. Many things go wrong all at once, and any safeguards are overwhelmed by the repeated issues. COVID-19 could clearly be one of those root causes. What might be others?
Another clear source of turmoil for the western world right now is domestic politics. America has a historically unpredictable president and is heading into a divisive election year where the two candidates are both likely to be very old. The UK is finally going to leave the EU and hasn’t yet struck a deal to determine what that actually means. Canada (where I live, though less critical on the world stage) was in the middle of its own domestic crisis around Native American land rights and infrastructure projects before that got overshadowed by COVID-19 – our railroads and as such some parts of our supply chain had been shut down for weeks already by protesters.
A third source of problems might be the “oil war” between OPEC and Russia, but I don’t know enough about that to really write about it usefully.
With all that said, the thing that I am most afraid of right now is China. China has been very aggressive on the world stage in the last couple of days, and I fully expect them to continue that pattern. Why wouldn’t they? Just as their country is recovering from the virus and starting to pick back up, the crisis in America and Europe is still growing. They are feeling strong while Western democracies are weak, divided, and looking inwards, and we should fully expect them to take advantage of that power imbalance in the short term to do things like finally and properly annexing Hong Kong (predict 50% that by the time COVID-19 has run its course in North America, Hong Kong has lost whatever quasi-independence it might have had).
The question is how far they will go, and how will we (our governments) react? In normal times I would expect them to be cautious but I would also expect a cautious response from western governments. With the current volatility in the American system and the antagonism built up over the previous Chinese-American trade war, there is substantial risk of something escalating out of control. A full military conflict between world powers at this point in time would truly be something else going terribly, terribly wrong.