BRIAN GAYNOR: Covid-19 is much bigger than the GFC

Tue, 14 Apr 2020

The Treasury’s latest economic forecasts clearly illustrate that this isn’t just another global financial crisis.The latest crisis has been caused by a ‘once in a century public health shock’ whereas the late 2000s GFC had its origins in shonky finance sector activities, which in New Zealand included the failed finance companies and other flawed domestic investment products.Treasury forecastsThe following table compares Treasury’s GDP and unemployment forecasts during the GFC and the current crisis.bg_covidvgfc.png 50.88 KBSeveral observations...

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