03

Two pillars – short-time working and liquidity assistance – should soften the economic blow dealt by the coronavirus pandemic. However, companies do not have the revenue to finance expenses like rents and interest payments. In the case of a production shutdown, these capital costs should be partly carried by the private sector and partly compensated.

D-MTEC experts address issues of society, the economy, and business. The D-MTEC Media Update lists their recent articles, interviews, and commentaries. The coronavirus spread has given rise to major uncertainty about the present and the future. Dr Michael Siegenthaler (Head of the Labor Market Section at KOF) points out that the pandemic could trigger a financial crisis where economic long-term losses could be much greater than short-term costs of the aid programmes.

D-MTEC experts address issues of society, the economy, and business. The D-MTEC Media Update lists their recent articles, interviews, and commentaries. The coronavirus spread has given rise to major uncertainty about the present and the future. KOF Director Jan-Egbert Sturm and Professor for Macroeconomics Hans Gersbach propose a relief fund to help overcome the crisis. Petra Schmid (Professor for Organizational Behavior) gives advice on how we as individuals can cope in this situation.

The Corona pandemic is bringing enormous economic problems with it at ever-shorter intervals. The threat of massive slumps in value creation and of a wave of bankruptcies with the irreparable loss of physical and human capital looms on the horizon. D-MTEC Professors H. Gersbach and J.-E. Sturm therefore suggest establishing a fund of 100 billion francs to make up for the deficiencies in the already realised measures for a certain period of time.

Due to the latest developments in the spread of the coronavirus, D-MTEC staff will be working remotely the next weeks.