"Evaluating policies in Spain during the COVID-19 crisis and its aftermath: The role of DSGE models with heterogeneous agents and sectors"

The objective of this project, in which researchers from various institutions in the United Kingdom and the United States, in addition to Spanish, participate, is to quantitatively assess whether the measures in socio-economic policy that have been adopted in our country in the context of the pandemic (ERTE , the Minimum Vital Income, tax deductions and exemptions, etc.) are effective and manage to correct inequalities or, on the contrary, aggravate these imbalances. The team starts from the premise that the crisis is affecting the different sectors and agents in a very unequal way, in a situation that is enormously damaging for many, but in which there are also sectors and agents that are benefiting. They will use stochastic dynamic general equilibrium models for this. The objective of this project is to quantitatively evaluate whether the socio-economic policy measures that have been adopted in our country in the context of the pandemic are effective and manage to correct inequalities or, on the contrary, aggravate those imbalances.