Several of your bullet points read "X goes wrong, until the government steps in". What makes you think the government is able to put out these fires at the same rate as people run into them? The government also just consists of people. Declaring a national emergency, regulating supplies and stores, testing the literal whole county and providing food and healthcare packages takes time, planning and frankly skill that I'm not sure governments have.
That being said, I agree with quite a few of your points. But I think the negative impact of empty grocery stores, people hoarding hygiene products, shops closing because too many employees are staying indoors etc. will be very serious, and that it will take at least weeks before any centralised plan will be able to catch up with this.
Here are a number of points:
Increasing perceptions of danger could lead people to refuse to take care of people they otherwise would have provided care for. This is undoubtably bad for the person who would have received care; whether it's good or bad for society as a whole depends on the specifics of transmission and care.
Because people who think and act deliberately are less likely to blindly and actively hurt others than those who are acting on a fight/flight/freeze instinct. We are not evolutionarily equipped to handle threats of a nature such that:
Panic is what we call it when the elephant has gotten really freaked out and the rider stops trying to determine the best course of action in the face of what feels like an uncontrollable primitive mind. Panicky people tend to do stupid things like breaking quarantine, other-seeking for comfort, finding out those people are all panicking too and starting a riot instead of appropriate behaviors like staying inside whenever possible, making phone calls to authorities to report the riot outside, and washing their damn hands (and maybe sanitizing the phone as well).
I think it's axiomatically better if people do stuff on purpose instead of acting out of animal fear. I'd even think this if people were choosing to do the wrong stuff due to, let's say... inconsistent and unreliable messaging or something, because at least they're thinking and acting deliberately which makes them less likely to do the stupid panicky animal things that confer no benefit but add needless harm to the problem.
By analogy: most of the deaths from the Spanish flu are believed to have been caused by over-reacting immune systems. Our global response to disease has the potential to cause more damage than the disease itself.
That is not necessarily what is happening -- but it is a scenario we should be aware of.
It seems like it's mostly being taken as a given that we want to avoid panic. I'm sure avoiding panic is in fact desirable, but I don't quite understand why that's the case, so please interpret this post and my follow up comments as Socratic grilling.
If there was panic, here is what I would expect:
Here is what I suspect might be wrong with that story I just told: