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Corona crisis: Business and economists sharply criticize politics

2021-03-23T15:31:44.306Z


"Tunnel mode", "course of stupid blocking": the most recent shutdown decisions have reaped harsh words from the economy. Economists are calling for a reliable corona policy.


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Barriers on Marienplatz in Munich

Photo: LUKAS BARTH-TUTTAS / EPA

The extension of the shutdown and an almost complete standstill of public life over Easter have been sharply criticized by business associations.

Economists consider the decisions to be justified, but expect billions in costs and lower their forecasts for economic growth.

"The federal and state governments only operate in tunnel mode," said the chief executive of the HDE retail association, Stefan Genth.

The Federal Association of German Industry (BDI) warns of high follow-up costs due to the pandemic policy.

"There is growing concern across the economy about long-term, irreparable damage," said BDI President Siegfried Russwurm.

Federal Minister of Economics Peter Altmaier (CDU) defended the measures.

He called the longer lockdown and the extended rest period around Easter an "unprecedented show of strength", which, however, was bitter for some.

The third wave of infections must be broken.

"This is the only way we can save human lives," said Altmaier.

The substance of the economy could also be preserved.

Altmaier announced that in the coming days he would work out the details of additional corona aid for companies, especially for those that have been closed for a particularly long time.

Hotels, restaurants, tour operators and tourism companies are particularly hard hit by the forced closings.

In addition, Altmaier held the prospect of a meeting with more representatives from more than 40 associations at the end of next week.

Above all, the trade denounces the fixation on the corona incidence values.

The measures would have to be based on the scientific facts, said HDE managing director Genth.

"And they show that the risk of infection is low when shopping." It is therefore high time to draw the appropriate conclusions and reopen all shops in compliance with strict hygiene concepts.

The trade association sees the closure of the grocery stores on Maundy Thursday as counterproductive.

This leads to increased customer rush on the previous Wednesday and the following Easter Saturday.

There are also allegations from family business owners who miss intelligent contact tracking as well as sufficient self-tests.

The "lockdown chancellor" had enforced her "course of stupid blocking", commented association chief Reinhold von Eben-Worlee.

"Our business partners in the US are already vaccinated and can travel freely again and visit customers while we are still waiting for the cumbersome vaccination appointments," he said.

The Mittelstandsverband BVMW fears a wave of bankruptcies.

"The tightening of the lockdown over Easter and the extension well into April mean the safe end of their existence for many companies," said BVMW chief economist Hans-Jürgen Völz.

The managing director of the German Tourism Association, Norbert Kunz, said: "No plan, no strategy, not even a small signal for safe travel in your own state." Many tourism companies are now finally with their backs to the wall.

Economists also expressed criticism - albeit less of the specific resolutions of the latest federal-state summit and more of the corona policy in general: "The late and contradicting decisions of the past six months have caused the greatest possible economic damage," said the President of the German Institute for Economic Research (DIW), Marcel Fratzscher.

"You have created maximum uncertainty, so that companies no longer have any orientation."

This uncertainty is poison for the economy and will inevitably lead to numerous corporate bankruptcies and an increase in unemployment, according to Fratzscher.

The best protection for the economy is a quick limitation of the third wave of infections, reliable rules and a clear future perspective.

"The German economy lacks that more than ever today."

Read the background to the Civey method here.

Sebastian Dullien, Director of the Institute for Macroeconomics and Business Research (IMK) of the union-related Hans Böckler Foundation, considers the effects of the Easter shutdown to be minor: »Purchases that do not take place during the closing time over Easter should be made up either before or after . “Overall, however, it must be stated that” the opening strategy introduced since the beginning of March has brought more economic damage than good.

The best for the economic recovery would have been somewhat longer and possibly tougher contact restrictions «.

After the shutdown has been extended, Commerzbank has lowered its growth forecast this year from 4.5 to 3.5 percent.

"In terms of the economy as a whole, the hard lockdown will reduce gross domestic product by four percent while it is still in effect," said chief economist Jörg Krämer.

That corresponds to an economic loss of a good ten billion euros per month.

fdi / Reuters

Source: spiegel

All business articles on 2021-03-23

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