TY  - UNPD
A1  - Boot, Arnoud
A1  - Carletti, Elena
A1  - Kotz, Hans-Helmut
A1  - Krahnen, Jan Pieter
A1  - Pelizzon, Loriana
A1  - Subrahmanyam, Marti G.
T1  - Corona and financial stability 3.0: try equity - risk sharing for companies, large and small
T2  - SAFE policy letter series ; 81
N2  - This policy letter adds to the current discussion on how to design a program of government assistance for firms hurt by the Coronavirus crisis. While not pretending to provide a cure-all proposal, the advocated scheme could help to bring funding to firms, even small firms, quickly, without increasing their leverage and default risk. The plan combines outright cash transfers to firms with a temporary, elevated corporate profit tax at the firm level as a form of conditional payback. The implied equity-like payment structure has positive risk-sharing features for firms, without impinging on ownership structures. The proposal has to be implemented at the pan-European level to strengthen Euro area resilience.
T3  - SAFE policy letter - 81 
KW  - coronavirus
KW  - financial stability
KW  - risk sharing
KW  - policy measures in the EU
Y1  - 2020
UR  - http://publikationen.ub.uni-frankfurt.de/frontdoor/index/index/docId/53409
UR  - https://nbn-resolving.org/urn:nbn:de:hebis:30:3-534099
UR  - https://safe-frankfurt.de/de/policy-center/publikationen/detailsview/publicationname/corona-and-financial-stability-30-try-equity-risk-sharing-for-companies-large-and-small.html
IS  - March 2020
PB  - SAFE
CY  - Frankfurt am Main
ER  -