Proposals to Help the Economy During the Covid-19 Crisis [pdf]

In my country the government has already instituted a few of these points with regards to the coronavirus crisis. For example, my business taxes that are due to be paid this month and in the near future are being deferred, and there are apparently government-guaranteed business loans on the way (a lot of promises, not yet clear how it’l work).

Maybe I am missing something, but it seems to me that things like deferring taxes due this month won’t do a lot to help me. These are taxes that are being paid on revenues I have already generated, and the text money is sitting in my account waiting to be extracted and paid. To me, that money is not ‘mine’ but it’s just sitting in my account waiting to be paid.

Am I meant to spend it to keep the economy going? The taxes aren’t cancelled, just deferred - I’m still going to owe the money in taxes eventually. If I spend it now, I’ll have to find it later again…

I’m not sure anyone (in my country or elsewhere) really understands right now the impact that this will have on the economy, or the best way to address it. Deferring taxes doesn’t seem to be useful to me, maybe it will be to others. Am. missing something? Maybe it is more useful for businesses with a precarious cashflow?

This makes total sense to me. Banks will sit on most money that they get. Little people will spend it. And they also actually need it.

wow

print money for every american

debt relief all over

suspension of commercial rents

no stock buy backs or dividends

It's amazing what you can achieve with the combination of infinite printed money and total political will.

It's the world's economy that is affected during this pandemic.