Template-Type: ReDIF-Paper 1.0
Title: Preparing for the Next Crisis: How to Secure the Supply of Essential Goods and Services
Author-Name: Natalia Fabra
Author-Email:
Author-Name: Massimo Motta
Author-Email:
Author-Name: Martin Peitz
Author-Email: martin.peitz@gmail.com

Classification-JEL: L22, L23, L51, L52, D47, D92
Keywords: resilience, prevention, detection, mitigation, electricity capacity markets, essential goods

Abstract: The COVID-19 crisis has demonstrated a lack of preparedness for pandemics and other global shocks that require the quick availability of some essential goods and services. As we argue, private incentives are often insufficient to be prepared for rare events with a large negative effect. Instead, governments and preferably supranational institutions should implement mechanisms that make sure that prevention, detection and mitigation measures are taken. In particular, the economics of electricity capacity markets provides important lessons for the provision of essential goods in such events. 

Note: 
Length: 21
Creation-Date: 2020-08
Revision-Date: 
File-URL: https://www.crctr224.de/research/discussion-papers/archive/dp210
File-Format: application/pdf
Handle: RePEc:bon:boncrc:CRCTR224_2020_210