What can be bought, how and where things are consumed, the immediate preferences for investments, all these are likely affected by the income and risk aversion shocks which we outline in the FSR. We offer our vision for the New Economy to serve as an anchor towards which stakeholders may transition. This New Economy is not just a “post-COVID” world.
Rather, we expect it to be defined by a different set of market arrangements, changed business models, and distinguished by new behaviors. And for the authorities, it also means adjusting our lens to account for systemic risks when we oversee the functioning market.