To spell it out more concretely, it's suggested that if a city is vital and people want to live there, a disaster will not hurt that growth and city's long-term trajectory. Physical damage, or even population damage will recover and people will still move there to be around other productive people.
On the other hand, if a city was already losing its vitality and drive and attractiveness, no amount of stimulus afterwards will stop it. People simply don't want to live and work there, or be part of the city's growth. The examples (I'll try to dig up the articles) were:
- Kobe after their earthquake (stimulus and reinvestment did not stop a general decline of that city that was happening long before the earthquake)
- New York, after natural disasters, 9/11, etc. (the city rebounded and people continued moving there no matter the physical aftereffects)
So for SF, you ask, aside from this virus situation, what was San Francisco and California incentivizing people to do? It has been a confused message. Tech and jobs, weather, and pleasant environment clearly drive SF's growth and attractiveness. However, homelessness, traffic, zoning, high housing prices/unaffordability, all the problems of SF that the supervisors have been too ineffective to tackle meaningfully, drive unattractiveness.
I think the virus (like any other natural disaster) just exposes to a greater extent what people really think and are likely to do about a city.
San Francisco (and any other city's) fate was made long before the current situation, and short-term popular messages of "we will get through this and get stimulus money or reform x,y,z" generally will not outweigh the years and decades of what the city had set up for itself up to now. Personally though, I think SF + Bay Area will manage to slide (survive) through it, despite many faults, because it's been fundamentally a desireable place to be.