Have a look at this - https://www.nytimes.com/interactive/2020/science/coronavirus...
Suppose that we quarantine people for longer while a vaccine is found, and suppose this vaccine is fairly effective. Presently there are 120,000 deaths. Who knows what this number will rise to. This number is already with some quarantine measurements in place.
If a vaccine is not found, you're bound to have a catastrophe on your hands. So let's hope that one is found so that we can resume things in some "normal" way again.
Whether or not you quarantined, the economy would collapse because you would have a massive death toll and paranoia throughout the country. People would stop going out, they would stop spending money and they would hunker down regardless. Economic turmoil is a positive feedback loop. The coronavirus or the quarantine are just the triggers for it to begin. This cannot be overstated.
At least with a vaccine, you can get out of this by the skin of your teeth and reduce the over all deaths. So no, I don't think that quarantining to save lives is the "cure is worse than the disease" scenario. The economy would have collapsed regardless.