Mexico | Serious public policy error, if companies are not supported

Summary

Since it became clear that the COVID-19 epidemic was going to significantly impact Mexico, we have heard countless voices calling for fiscal support to be given to companies to help them navigate the emergency. I support that idea.

Key points

• Key points:
• It would have a negative and lasting impact on employment and would result in a much slower economic recovery
• There are formulas to grant fiscal support to companies without this leading us to a scenario of privatization of profits and socialization of losses

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