02125cas a2200313 a 4500 AALejournalIMF022389 230101c9999 xx r poo 0 0eng d 5.00 USD 9781616357214 1018-5941 BD-DhAAL BD-DhAAL Hosny, Amr. Economic Activity, Fiscal Space and Types of COVID-19 Containment Measures / Amr Hosny, Kevin Pallara. Washington, D.C. : International Monetary Fund, 2022. 1 online resource (49 pages) IMF Working Papers <strong>Off-Campus Access:</strong> No User ID or Password Required <strong>On-Campus Access:</strong> No User ID or Password Required Electronic access restricted to authorized BRAC University faculty, staff and students This paper argues that the type of COVID-19 containment measures affects the trade-offs between infection cases, economic activity and sovereign risk. Using local projection methods and a year and a half of high-frequency daily data covering 44 advanced and emerging economies, we find that smart (e.g. testing) as opposed to physical (e.g. lockdown) measures appear to be best placed to tackle these trade-offs. Initial conditions also matter whereby containment measures can be less disruptive when public health response time is fast and public debt is low. We also construct a database of daily fiscal announcements for Euro area countries, and find that sovereign risk is improved under a combination of large support packages and smart measures. Mode of access: Internet Fiscal Policies and Behavior of Economic Agents imf Fiscal Policy imf Market Structure and Pricing imf National Budget, Deficit and Debt imf National Government Expenditures and Related Policies imf Pallara, Kevin. IMF Working Papers; Working Paper ; No. 2022/012 Full text available on IMF http://elibrary.imf.org/view/journals/001/2022/012/001.2022.issue-012-en.xml IMF e-Library