Growth is necessary for inter-generational equity, especially because these are the generations that will be working to pay off commitments to older generations. Given these are also the cohorts that can take to the streets, growth is essential for social harmony. Not only are the benefits of growth unequally distributed across generations, they are also very unequally distributed within generation.
Risks to the outlook Regarding the outlook for the economy, risks up until the impact of COVID-19 subsides include the following: (1) the impact of COVID-19 on domestic and overseas economies; (2) firms' and households' medium- to long-term growth expectations; and (3) developments in the financial system.