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Reasonable use of app bet365 download measures to resist economic shocks

June 12, 2020 00:36 Source: "app bet365 download Journal" Issue 1946, June 12, 2020 Author: Hou Li, our reporter in Boston

　　The International Monetary Fund (IMF) recently issued a document on its official website，The global economy will face downward risks in the next few years。For this，The organization recommends that advanced economies use app bet365 download measures wisely，Enhance the ability to withstand adverse shocks。

　　Short-term app bet365 download to improve resilience

　　The "Great Blockade" measures taken in response to the global epidemic have caused the economies of many countries around the world to fall into a severe recession，The situation in some countries is even worse than during the 2008 global financial crisis。To this，Governments and central banks have taken strong (one-time and specific) app bet365 download and monetary measures。Overall，The implementation of these measures has alleviated the impact of the epidemic。

　　Article proposed，Currently, interest rates in many developed economies are at historically low levels，While public debt is at historically high levels。How to effectively prepare for the risks of future economic downturn，Is the issue that all countries should pay most attention to。In the latest issue of World Economic Outlook，IMF analyzes how advanced economies can strengthen their resilience to adverse shocks。Analysis results show，Rules-based app bet365 download can be relatively effective against recession。

　　Give full play to the role of app bet365 download policy

　　Article title，Currently interest rates in advanced economies are zero or close to zero，This results in very limited room for further conventional interest rate cuts。However，Central banks of various countries can still increase the use of unconventional app bet365 download，For example, large-scale asset purchases，To further increase support。But，It is not enough to rely solely on app bet365 download to deal with shocks，People are worried that this will have a certain negative impact on future financial stability，And poses a potential threat to the independence of the central bank。

　　One of the authors of the article、According to John Bluedorn, an economist in the Research Department of the International Monetary Fund，Establish rules for app bet365 download before shocks occur，Helps reduce uncertainty。For example，When the unemployment rate exceeds a certain threshold，Providing temporary services to low-income families、Targeted cash transfers，Can be very effective in dealing with typical economic downturns caused by insufficient demand。Although these stimulus measures are automatic，But it is very different from the traditional automatic stabilization mechanism，Because the latter is a response to personal circumstances，For example, providing unemployment insurance when laid off or implementing a progressive income tax system to deal with falling income。

　　The current impact of the COVID-19 epidemic on the economy is unusual，It has a significant impact on both supply and demand。The speed and depth of this impact are unprecedented，Increased difficulty in designing and providing timely financial support。For example，When a company cannot operate normally due to the epidemic，app bet365 download is less effective in boosting output。However，Even in this case，Early implementation of rules-based app bet365 download may also be beneficial，These measures can provide further income security for vulnerable groups，And strengthen the social safety net。

　　Article emphasis，Policymakers should consider strengthening the ability of fiscal policy to automatically respond to adverse shocks，Thus improving economic resilience。At the same time，When the economy is in recession，Even if further interest rate cuts are not possible，Monetary policy can also support app bet365 download by maintaining an accommodative stance, including easing financial market conditions。Of course，Design and adopt new fiscal instruments and improve existing automatic stabilization mechanisms，It takes time and political consensus。However，This does not mean that fiscal measures are redundant。In fact，Fiscal measures are crucial，Able to provide strong countercyclical support in extraordinary times，But the premise is that these measures must be adopted and implemented in a timely manner。

　　Flexibly respond to future app bet365 download

　　Bruton thinks，Historically，There are delays in the implementation of app bet365 download。However，Set expectations by establishing rules of action ahead of time，Can be helpful to a certain extent。Therefore，It is necessary to implement more automatic app bet365 download，In an economic recession, especially when central bank interest rates are close to or at the effective lower limit、When monetary policy is restricted，Rules-based app bet365 download measures are very effective。

　　IMF economist Michal Andrle thinks，In view of the onset of recession，The magnitude of monetary and app bet365 download policy actions is huge，And the prevalence of low interest rates and high debt，Monetary and app bet365 download policymakers will face many challenges。Also，When emergencies such as epidemics occur，Policymakers will also face demographic pressure、Global economic structure、The impact of short-term interest rate spread risks and other factors，These will make the world after the epidemic face a more complex situation，And add more uncertainty to the formulation and implementation of app bet365 download policy。

　　(our newspaper, Boston, June 8)

Editor: Chang Chang