Advanced economies should regularly carry out deeper evaluations of the cross-border and boomerang repercussions of their policy choices, particularly as the tightening of global financial conditions resulting from the eventual exit from ultra-accommodative monetary policy stances may pose serious threats to emerging market economies and affect advanced economies themselves.
The range of these steps and the focus on the populations that need assistance will help to reduce that uncertainty and the “new normal” that will be created in the labor market after the coronavirus event will contain as little as possible structural unemployment.