This study examines intergenerational welfare e¤ects of COVID-19 policy responses, focusing on containment measures, …scal expansions, and debt repayment schemes. Using a life-cycle model, we …nd: (i) without containment, welfare losses fall mainly on older agents via demographics; (ii) lockdowns shift burdens toward younger cohorts; (iii) debt-…nanced …scal expansions have modest e¤ects compared to social distancing; and (iv) debt repayment strategies are decisive—front-loaded repayment penalizes the young, while postponed repayment favors the old. These results highlight critical tradeo¤ s for equity and policy design in managing future large-scale crises.
No Country for Young People: Intergenerational Burdens of COVID-19 Policy Responses
Marchetti, Enrico
;Ciccarone, Giuseppe;
2025-01-01
Abstract
This study examines intergenerational welfare e¤ects of COVID-19 policy responses, focusing on containment measures, …scal expansions, and debt repayment schemes. Using a life-cycle model, we …nd: (i) without containment, welfare losses fall mainly on older agents via demographics; (ii) lockdowns shift burdens toward younger cohorts; (iii) debt-…nanced …scal expansions have modest e¤ects compared to social distancing; and (iv) debt repayment strategies are decisive—front-loaded repayment penalizes the young, while postponed repayment favors the old. These results highlight critical tradeo¤ s for equity and policy design in managing future large-scale crises.I documenti in IRIS sono protetti da copyright e tutti i diritti sono riservati, salvo diversa indicazione.
