From the Opening of the Lockdown to New Economic Perspectives

In many instances a re-start of the production in companies can be arranged, in some parts there are still prohibitions without a time horizon. Two thirds of companies still experience a strong impact from the corona crisis. The only readily available comparison of the cuts to the economy is, at most, the economic and financial crisis a decade ago. The number of employees in short-time work is significantly higher though, and so is the number of sectors concerned. The short-term economic indicators all fell in record time.

A further extension of the economic stand-still threatens to lead to a dynamic downward trend, which absolutely needs to be avoided. Next to permitting more economic activity and making available the necessary public conditions, such as large-scale testing or organising the opening of schools, we increasingly need to focus on instruments for achieving cyclical stabilisation. The loss of demand for investment good and consumer durables looms large. Furthermore, it will be essential to develop an economic growth programme, which improves the conditions for investment while at the same time supports the structural changes from digitalisation and climate protection.