Global Economic Resilience in the Post-Pandemic Era: A Comprehensive Review of Fiscal and Monetary Policy Responses
DOI:
https://doi.org/10.66635/fsq7g638Keywords:
COVID-19, fiscal policy, monetary policy, post-pandemic inflation, supply-chain resilienceAbstract
The COVID-19 pandemic generated an unprecedented macroeconomic shock, disrupting global production, labor markets, and financial systems while exposing deep structural vulnerabilities across economies. This study synthesizes contemporary empirical and theoretical research to examine the multi-dimensional impacts of the pandemic and the effectiveness of fiscal and monetary interventions implemented globally. Pandemic-induced structural shocks created simultaneous supply and demand disruptions, altering consumption patterns, accelerating digital transitions, and reshaping global value chains. Long-term macroeconomic scarring including reduced productivity, sectoral reallocation, and divergent recovery paths highlights the persistent nature of the crisis. Fiscal measures, such as direct income support and credit guarantees, proved vital in stabilizing economic activity, while coordinated fiscal governance reshaped political-economy frameworks, particularly in Europe. Monetary responses, although effective in preventing financial collapse, contributed to post-pandemic inflation dynamics intensified by supply constraints and geopolitical pressures. The review also explores global supply-chain restructuring, behavioral adjustments within households, and widening inequalities across and within countries. Findings underscore the necessity for resilient policy frameworks that integrate structural reforms, international cooperation, and adaptive monetary strategies to address future systemic shocks. By consolidating evidence across multiple domains, this study offers a comprehensive understanding of the pandemic’s economic legacy and outlines key considerations for strengthening resilience in the post-pandemic global economy.
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