Questions and answers about
the UK economy.

Debt sharing after Covid-19: how the direct involvement of EU institutions impacts the recovery path of a member state.

The substantial risk to public health posed by the emergence of Covid-19 has resulted in many European Governments taking unprecedented action to arrest the spread of the virus. Administrative closures across a number of economies has resulted in a complete cessation of certain types of economic activity, a significant increase in unemployment and likely profound consequences for the public finances of the countries in question. In this paper we use a recently developed DSGE model to estimate the impact of these closures on the Irish economy. We also examine the implications of a greater involvement by EU institutions in the sharing of sovereign debt on the recovery path of the Irish economy.

Lead investigator:

Kieran McQuinn

Affiliation:

Economic and Social Research Institute, Dublin, Ireland

Primary topic:

Recession & recovery

Secondary topic:

Prices & interest rates

Region of data collection:

Europe

Country of data collection

Ireland

Status of data collection

Complete

Type of data being collected:

Administrative

Unit of real-time data collection

Country

Frequency

One-off

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