“Factors for Short-Term Forecast of the Ukraine’s Economy”, Vasyl Yurchyshyn (Razumkov Centre, Ukraine)

From the very beginning of its deployment, the crisis caused a significant (“synchronised”) economic shock. The first measures to restrict the movement of people (both within the country and between countries due to the actual closure of borders), transport (including freight), closure of offices and businesses (followed with the loss of jobs) meant a sharp reduction in aggregate supply. The shock of supply immediately turned out to be a shock of demand, because the loss of work and “locking” people at home meant the loss of income, readiness for consumption, and purchasing power. The loss of employment in a very limited time affected significant and broad sections of the population, since the crisis immediately and simultaneously addressed and negatively affected almost all spheres of human activity.

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