We saw during 2020 how in times of major emergency the State’s role can be vital. The decision to use significant State supports to combat the economic impact of the epidemic was undoubtedly the correct one. Unlike the previous financial crisis, there was no need to hike taxes and cut spending and thus intensify the economic hit. Heavy State spending will have to continue. In economic terms, the early months of 2021 could feel like 2020, before a rebound as a gradual reopening becomes possible.

Source: The Irish Times December 29, 2020 22:30 UTC