In response to the crisis of the sars coronavirus, the federal Reserve (Fed) in the u.s. and the european central Bank (ECB) decided to implement a monetization unlimited, that is to say, to finance purchases of public debt by monetary creation. Potentially, this will create public deficits are very important.
We expect a growth very negative in 2020 in the United States and in the euro area (- 5 % in annual average, if not worse), and the reaction of the fiscal policy is a massive public deficit of 6% to 7% of GDP in the euro area, 14 per cent of GDP in the United States). Without the int…
