KDI 경제정보센터

We examine the economic effects of the COVID-19 shock and the various policy responses that were put in place in the UK. As is well-known the lockdowns led to large falls in output, consumption and investment. But, the policies put in place to mitigate the shock ？ in particular, the Furlough Scheme ？ helped soften the blow and leave the economy well placed to recover once the lockdowns were lifted.