3 ms·

Giving people money isn't going to restore consumer confidence. People are afraid to leave their homes. Even when the government starts easing restrictions, the

Giving people money isn't going to restore consumer confidence. People are afraid to leave their homes. Even when the government starts easing restrictions, they'll still be afraid. They will buy groceries, pay for rent and Netflix, and save the rest of their money. I know people who have not left their homes for weeks. Consumer confidence is at absolute historic lows with no clear path to restoring it. This means there is likewise no clear path to a restoration of the parts of the economy which are currently disappearing. The tools of economic policymakers are mostly ineffective in the current situation. The only way a recovery of any kind will happen, and it will likely be slow, is if people start venturing out of their houses again and looking for places to spend money. The government's role has to start with literally encouraging people to step outside of their front doors and walk around.

lbeltrame 6y ago
> The government's role has to start with literally encouraging people to step outside of their front doors and walk around. Some governments may (involuntarily) do the exact opposite and scare people even more. In Italy there are countless of rumors amplified by the media that there will be strict and onerous requirements for most activities to be done (such as, clothing shops having to disinfect every single piece that has been tried on, no air conditioning at all costs, use of plexiglas visors in addition to masks for many close-to-face activities...) that will likely a. not restart businesses (because they're on top of all other regulations) and b. scare people so much that they will not like going out of their house (would you even go to buy clothes knowing you can be contaminated by the "plague"?).