As I have said previously, however, given that procyclicality is an important contributor to systemic risk, there is good reason to continue work on developing time-varying policies. I would devote particular attention to policies that can act as the rough equivalent of an increase in interest rates for particular sources of funding.
The economy will get an immediate boost as containment measures are lifted, people are called back to work, and households resume some of their normal activities. But it will be important not to assume that these growth rates will continue beyond the reopening phase. The pandemic is likely to inflict some lasting damage to demand and supply.