22 March, 2020

Cash is King! It's time for helicopter money for the CoV-2 induced loss of revenue from services - amalgamating all other claims

Countries and territories are responding to the economic ramifications of the pandemic

Emergency economic measures taken by many countries and territories in response to liquidity crunches by the SARS-CoV-2 crisis essentially foresee for generous compensation for short-time working arrangements as well as loans - sometimes secured by guarantees - and, if necessary, subsidies. These measures help the manufacturing industry; on the other hand, they take no account whatsoever of the special features of the service industry and thus of tourism. Rather, this sector should primarily be considered for helicopter money for legal entities (companies) but also for the self-employed, thus placing the emphasis on subsidies. Possible means of implementation: A negative lump sum tax.