The head of the Munich Ifo Institute, Prof. Clemens Fuest, warned Merkur.de against a hasty extension of the state's corona aid.
- The government's Corona aid is intended to help companies get through the crisis - according to the political plan.
- Head of the Munich Ifo Institute, Prof. Clemens Fuest , is now warning of a hasty extension of the funds.
- It is necessary to allow structural change, says Fuest in an interview with Merkur.de.
Munich - Thanks to the help in temporary economic downturns, jobs can be preserved and companies supported, the Ifo boss told Merkur.de *. At the same time, however, the state must allow the necessary structural change, Fuest warned in an interview.
Professor Fuest, Federal Labor Minister Hubertus Heil wants to extend the maximum period of unemployment benefit from the previous 12 to 24 months and also maintain the planned increase. How useful are these plans?
It is too early to make that decision. Short-time work allowance has the advantage that temporary economic downturns can be bridged without layoffs. The disadvantage is that jobs may be retained that will ultimately be lost. That is why you have to take a closer look the longer the short-time work lasts. Whether it makes sense to pay short-time work benefits for another year next spring cannot be judged sensibly now.
In view of the recently increased number of cases, there are renewed fears that the federal government or individual state governments might impose further lockdowns. What would such restrictions mean for the economy?
It depends on whether the lockdowns are comprehensive or not. It is important to take decisive action to contain major regional outbreaks so that the virus does not spread so widely that a nationwide lockdown is necessary.
Federal Minister of Economics Peter Altmaier also wants to extend the bridging aid for small and medium-sized companies. Is this the right way?
Similar to the short-time work allowance, you have to weigh up between the need to help companies with sustainable business models and the need to allow structural change. An extension until the end of this year is certainly justifiable, then a new decision should be made depending on the economic development. * Merkur.de is part of the Ippen Digital network.