"Whatever it costs": the new economic world facing Coronavirus

"Whatever it costs" is the new imperative set by Emmanuel Macron and it profoundly changes economic policy. Faced with a crisis and faced with an emergency, there are no more rules. We do what it takes to deal with the emergency and we see after. The President has outlined the economic roadmap he wants to see implemented to respond to the damage caused by the virus.

"Whatever it costs" is the new imperative set by Emmanuel Macron and it profoundly changes economic policy.

It's a real paradigm shift. "Whatever it costs" means that we are changing the world and breaking the rules. Remember. "Whatever it costs" is the French translation of what the President of the European Central Bank said in English in 2011: "whatever it takes". Faced with a crisis and faced with an emergency, there are no more rules. We do what it takes to deal with the emergency and we see after. There, it's the same thing. This virus crisis is unprecedented. In just a few weeks, it brought the second largest economy in the world, China, to the brink of recession. She put Italy under cover. The rest of Europe dives. In these moments, "whatever the cost", we must mobilize all the resources of the State. All the resources of Europe. There are rules that apply in calm weather, such as the 3% deficit. But in the storm, they no longer need to apply.

But what does this mean in concrete terms?

Emmanuel Macron was very clear. It means precisely three things. First, the European Central Bank must do more. The ECB "will have to take new decisions". Christine Lagarde will have to review her copy. Never has a French president criticized the ECB so directly. Next, European governments must take stimulus measures. A public recovery plan is needed to support the activity that collapses hour by hour as the virus progresses. A "massive" plan, this time, it is the European Commission which takes its grade with its meager plan of 25 billion euros announced two days ago. And three, action is needed at the G7 and G20 level because the threat of recession is global. With this "whatever it costs", Emmanuel Macron traced the economic roadmap he wants to see implemented to respond to the damage caused by the virus. Now remains to convince everyone.