Wouter Den Haan's picture
Affiliation: 
London School of Economics
Credentials: 
Professor of economics

Voting history

COVID-19 and UK Public Finances

Question 2: What is the best way to (eventually) reduce public deficits and debt?

Answer:
Tax increases
Confidence level:
Confident
Comment:
I am sure it will have to be a combination of the set listed, but I chose tax increases because after so many years of austerity we should be careful with further erosion of government services (the cost of which has become very clear during the pandemic)

Question 1: How urgently should the UK government address the rise in public debt?

Answer:
There is no need to take or announce any budgetary actions to reduce the deficit or the public debt until the end of the pandemic
Confidence level:
Very confident
Comment:
we know countries like the UK can deal with high debt levels and right now there are obviously more important concerns

The Eurozone COVID-19 Crisis: EU Policy Options

Question 2: What is the best mechanism to pay for economic support provided by and to EU member states to combat the COVID-19 crisis?

Answer:
Expanded EU budget (with possible borrowing at the EU level)
Confidence level:
Not confident
Comment:
Although I can see a bigger role for the ECB, the first line of eurozone action has to be a fiscal one

Question 1: What is the total size of funding that you would advocate at the EU level in support of its members to weather the COVID-19 crisis this year?

 

 

Answer:
5-10% of GDP
Confidence level:
Not confident
Comment:
I have been a good sport and given a number. But what is the right number depends a lot on what it can be spend on and what the conditions are. There could be solidarity gifts for some expenditures. For other types of expenditures it would make more sense to have loans with some conditions. So depending on what these specifics are the right number could be lower or higher.

Covid-19: Economic Policy Response

Question 2: Which of the following would have the second greatest impact in mitigating the economic effects of the coronavirus economic crisis in the UK?

Answer:
Government transfers to and bailouts of businesses
Confidence level:
Not confident
Comment:
To avoid long-term negative consequences, t is essential that we keep the economy's business network intact. To ensure this the first step is to offer credit support to survive a period of revenue reductions. However, when the revenues will be low for a sustained period, then more direct support/transfers will be necessary since the built up debt will not be sustainable.

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