BIS paper warns economies may stagnate after Covid-19


Advanced economies may find themselves in a long period of stagnation as their economies adjust to the aftereffects of Covid-19, a Bank for International Settlements working paper finds.

In What comes next?, Daniel Rees uses a multi-industry model to estimate how the shock affects economies in aggregate and on an industry level. He aims to quantify how “smoothly” different countries are able to accommodate the changes in industry composition brought about by the virus and authorities’ responses

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