Marcel Fratzscher estimates that the effects of the second wave are underestimated.
Marcel Fratzscher from the German Institute for Economic Research.
The head of the German Institute for Economic Research, Marcel Fratzscher, expects an extension of the corona lockdown with serious effects on the German economy.
“The longer it takes, the more companies come to the limits of their possibilities, the more will go bankrupt,” said Fratzscher of the “Augsburger Allgemeine” (Saturday). The second wave will be harder than expected.
“The question now is not whether there will be a wave of corporate bankruptcies, but when,” said the economic researcher. There is also a threat of an increase in unemployment. Fratzscher emphasized that it was nevertheless correct to extend the lockdown if the number of infections remains high. “Economic easing now may benefit some in the short term, but it would harm everyone in the long term.”
labour market
Fratzscher told the newspaper that the German labor market had come through the crisis less well than the statistics showed. Almost 600,000 employees subject to social security contributions would have lost their jobs in 2020.
“In addition, there are around 850,000 mini-jobbers who do not appear in any unemployment statistics and who are not entitled to unemployment benefits or short-time work benefits.” In addition, there would be countless of the roughly two and a half million self-employed individuals with massive losses.
