The economics of State aid in times of crisis: how large is the damage?

The economics of State aid in times of crisis: how large is the damage?

March 31, 2020

Due to shelter in place orders and quarantine efforts related to the COVID-19 outbreak, the world economy has come to a near halt.

This international economic “pause” has already had a significant and detrimental impact on businesses across many sectors, threatening the onset of an economic recession. In response, the European Commission has published guidance regarding the use of State aid to support businesses struggling to cope financially with the COVID-19 outbreak measures.

The State aid team at Copenhagen Economics has developed an article to discuss the application of economics in employing the new Temporary State Aid Framework, adopted by the Commission on March 19th.

Learn more about the article
For further information, please contact Director Adina Claici