The risks of exiting too early the policy responses to the COVID-19 recession

Cassola, Nuno, De Grauwe, Paul ORCID: 0000-0001-5225-1301, Morana, Claudio and Tirelli, Patrizio (2022) The risks of exiting too early the policy responses to the COVID-19 recession. Research in Globalization, 4. ISSN 2590-051X

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Abstract

This policy brief warns about the risks of discontinuing the policy responses to the COVID-19 crisis by pursuing exit strategies too early and/or too sharply. It outlines a comprehensive strategy for limiting such risks globally and offers an in-depth discussion of the European situation. Due to fiscal rules written in a pre- COVID-19 era and excessive emphasis on controlling public debt ratios, the Euro Area could be left with long-lasting scars, so its situation requires special treatment. Therefore, we articulate some policy proposals designed to preserve and strengthen the recovery in the EMU.

Item Type:	Article
Official URL:	https://www.sciencedirect.com/journal/research-in-...
Additional Information:	© 2021 The Authors
Divisions:	European Institute
Subjects:	H Social Sciences > HB Economic Theory R Medicine > RA Public aspects of medicine > RA0421 Public health. Hygiene. Preventive Medicine H Social Sciences > HV Social pathology. Social and public welfare. Criminology
Date Deposited:	05 Jan 2022 15:09
Last Modified:	12 Dec 2024 02:47
URI:	http://eprints.lse.ac.uk/id/eprint/113327

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