The crisis and after: academic reflections and recommendations

The Covid-19 pandemic is an unprecedented event for the modern world in which we live. In terms of health, the virus caused more than 500,000 deaths and infected more than 10 million people at the end of June. To deal with it, many states have decided to apply more or less strict lockdown measures. To the greatest evils, the great remedies, one could write. But, while this remedy may seem obvious to save human lives, pending effective therapeutic treatment, it does not have the same impacts both between countries and within each country. This is evidenced by the differences between France and Germany, for example, or the increase in local inequalities, especially in the labour market or in education.

In addition to this disappointing observation, the health crisis has caused a self-induced economic and financial crisis, which has forced the governments of developed countries to launch massive support plans. As always, in crises, there will be winners and losers. On the one hand, we find the major digital players, who have largely fared well with the lockdown. On the other hand, industries or sectors considered non-essential for primary needs such as the automobile, aeronautics or tourism.

Faced with this unprecedented situation, innovative solutions have been put in place. Of course, it is still a bit early to draw up a precise and quantified assessment of this crisis, but we can already draw initial lessons from it and observe that it has important consequences on the four societal transitions studied at the Louis Bachelier Institute (ILB), namely: digital, financial, environmental and demographic.

In this new issue of Cahiers Louis Bachelier, you will find an overview of scientific work and reflections that have emerged over the last few weeks at ILB. The first article is devoted to macroeconomic perspectives, with a focus on the future of the Euro Zone, based on the work of Bertrand Candelon, a specialist in economic crises. The second text is an interview with Christian Gollier, an economist specializing in ecological issues and member of the Blanchard-Tirole Commission, responsible for issuing recommendations on economic recovery in France. The third article details an original scientific work, carried out by researchers from the Digital Finance Chair, in particular David Bounie: the study of the behavior of French consumers before and during lockdown, based on bank card transaction data. Finally, the latest interview with Winston Maxwell, one of the best lawyers in France in the protection of personal data, discusses the fight against the pandemic using digital tools, a theme that is very popular in France.

Happy reading and have a nice summer!

Jean-Michel Beacco,
General delegate of the Louis Bachelier Institute

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