Template-Type: ReDIF-Paper 1.0
Author-Name: Enrique Alberola-Ila
Author-X-Name-First: Enrique
Author-X-Name-Last: Alberola-Ila
Author-Name: Yavuz Arslan
Author-X-Name-First: Yavuz
Author-X-Name-Last: Arslan
Author-Name: Gong Cheng
Author-X-Name-First: Gong
Author-X-Name-Last: Cheng
Author-Name: Richhild Moessner
Author-X-Name-First: Richhild
Author-X-Name-Last: Moessner
Title: The fiscal response to the Covid-19 crisis in advanced and emerging market economies
Abstract: The fiscal policy response to the Covid-19 crisis has been swift and strong, in tandem with monetary policy. Advanced economies (AEs) have deployed a much larger fiscal response than emerging market economies (EMEs). The lower incidence of the pandemic in EMEs does not fully explain the difference. A narrower fiscal policy space in EMEs, further reduced by the tightening of their financing conditions induced by the pandemic shock, has constrained their fiscal response. The size and composition of the fiscal response also depend on other factors such as the level of income and the strength of the social safety nets and automatic stabilisers.
Length: 9 pages
Creation-Date: 2020-06-17
File-URL: https://www.bis.org/publ/bisbull23.pdf
File-Format: Application/pdf
File-Function: Full PDF document
File-URL: https://www.bis.org/publ/bisbull23.htm
File-Format: text/html
Number: 23
Handle: RePEc:bis:bisblt:23