Policies should be expansionary, no doubt about that. However, as billions of dollars / euros will be issued, the question is who is going to buy this debt, as most households and business face alike liquidity and solvency issues. Fed and ECB is the appropriate answer here but watch out, this provision of liquidity will not come without limits and possible long term negative side effects. Especially if the virus stays with us for a prolonged period of time...

Expansionary fiscal and monetary policies can be helpful. However, in the time of uncertainty, it is hard to measure the effectiveness of those policies. It believes we will face not only societal changes but economic changes as well. It will take months or maybe years to come back to normality. It can also be argued as new normality; for example, people will continue social distancing; online shopping will destroy the retail market. All these acts will shift the whole society.

Thanks and I agree with you Sushma and Theodore. But I think that in this context of crises (health, financial, economic, social, etc.), we must reinvent ourselves and redefine the "normal" in terms of fiscal policies, especially monetary ones. Certainly, I believe that our society will reinvent itself after this global crisis.

I am a Social Psychologist, a Lawyer, and a specialist in Military Psychology and Psychology of Terrorism. However, the worst economic policy/challenge Nigerian have is their politicians. Nigerian politicians and leaders are perennially and absolutely corrupt beyond redemption. That is why they steal, embezzle or squander money meant for sustainable development. See this link: https://www.eajournals.org/wp-content/uploads/Psychology-of-Politics-and-Politicians-in-Nigeria.pdf

I am sorry to hear that Okechukwu Dominic Nwankwo. I hope your country can find good solution for that problem.

I am currently following several virtual discussions regarding this issue, Otilia P. Manta. Unfortunately, I don’t find any new idea or breakthrough. People are still discussing expansionary fiscal and monetary policy with higher deficit. However, one big question arises, when the appropriate time for this policy is. People are questioning the effectiveness of this policy when the outbreak is still raging. Expansionary fiscal policy is aimed for growing demand. Nevertheless, it would be difficult to imagine any economic activity when people are still afraid being infected by the virus. On the other hand, intervention monetary policy needs to be done to keep people’s confidence on the currency. Every measure has both good and bad impact, so that governments need to be very cautious with the implementation. It seems one size doesn't fit all.

First of all, thank you Okechukwu Dominic Nwankwo for your involvement, I congratulate you on your experience and I am sorry for the problems in your country.

Your involvement is a positive thing for your community and hope, and your continuation in this direction is a hope for a better life for the many in need. I wish you much success and determination!

Thank you Yudhi Dharma Nauly for your appropriate response and your involvement. The COVID-19 pandemic involves the major risk of a serious recession affecting the entire world economy, with consequences for businesses, jobs and households. To guarantee the continued availability of sufficient liquidity on the market, to counteract the damage caused to healthy enterprises and to maintain the continuity of economic activity during the epidemic and after the end of the COVID-19 pandemic, it is necessary to develop a plan of measures and solutions. support of national economies, both through direct measures of state aid, fiscal and monetary measures, as well as through support / development / innovation measures of the business environment through financing programs, the effects of the current crisis being both short term, but more chosen in the medium and long term. I wish you all the best and success in your research’s.