20
May
Blog | Governments can protect vulnerable households, keep businesses open, and preserve price signals without straining public finances.
When global energy prices spike, governments face an unenviable dilemma: shield people and businesses while straining already reduced room in public budgets—or let prices rise for everyone and risk social and political backlash. So, how can policymakers do the best of both?
To be sure, there is no one-size-fits-all response because the impact of the war in the Middle East differs widely across...