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ought to goal for stimulus that supports swift restoration and limits windfall positive aspects. Accelerated depreciation allowances might be thought-about, whereas tax cuts for capital earnings and features, and broad CIT reductions could also be much less efficient. Policymakers might also avoid provisions that principally trigger variations in the timing of consumption or investment but have limited influence on aggregate behaviour, similar to reductions in capital features taxes. Ensuring robust demand for consumption and funding goods is vital to recovery. Policymakers should create conditions that strengthen consumption and investment. Stimulus packages will need to be calibrated for different international locations, depending on the scale of the output hole that results from the disaster. Fiscal stimulus packages ought to be short-term, properly-communicated, and not create everlasting deficits. Communication is important to make sure that stimulus leads to demand and not simply the paying down of existing debt or elevated financial savings..Similarly, extended support for companies may maintain ‘zombie’ companies that might not have survived in the absence of containment and mitigation measures. Tax reductions and deferrals may also harm medium-time period income raising capability. Tax authorities are advised to proceed managing such risks of abuse in accordance with

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