Central banks of various economies have announced stimulus packages to deal with the impact caused by the Covid-19 pandemic.
These measures offer a short-term solution for the crisis.
More targeted policies that address various aspects of the economy are essential to enable a quick economic recovery.
Jonathan Portes, professor of economics at King’s College London, shared his article on the long-term impact of the Covid-19 crisis.
In the article, Portes notes that the unemployment caused by the pandemic may be severe for young people and reduce future employment and wage prospects.
The article also notes that 30% of firms in Europe are expected to face liquidity issues, while business investments are likely to remain weak during the short and medium term.
Portes adds that expansionary macroeconomic policies may be required to deal with the impact of the pandemic.
In other news, Prof. Steve Hanke, an economist at Johns Hopkins, opined that countries like Syria, China, Russia and Vietnam have complete control over media and cannot be trusted for the accuracy of their Covid-19 data.