Preparing for a pandemic - a theoretical perspective on the trade-offs of unconventional monetary policy
As the COVID-19 pandemic spread across the globe, unprecedented policy measures were implemented by central banks and governments to dampen the effect on the real economy. Alongside the spread of the pandemic, research regarding how to simulate similar effects of the virus on the real economy and how to formulate optimal policy began spreading at an equal pace. The aim of this thesis is twofold. I