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Author: Omer Karin; Yinon M. Bar-On; Tomer Milo; Itay Katzir; Avi Mayo; Yael Korem; Boaz Dudovich; Amos J. Zehavi; Nadav Davidovich; Ron Milo; Uri Alon
Title: Adaptive cyclic exit strategies from lockdown to suppress COVID-19 and allow economic activity
  • Document date: 2020_4_7
  • ID: 5xfgmi2n_74
    Snippet: Second, a cyclic strategy would keep many businesses running, albeit at less than full capacity, thus avoiding temporary or permanent shutdown. It is considerably easier to extend the operations of running enterprises than to establish new ones. Moreover, even temporary shutdowns, intended to reduce labor and fixed costs during hard times, negatively affect investor and consumer confidence in firms. For this reason, even during the Great Recessio.....
    Document: Second, a cyclic strategy would keep many businesses running, albeit at less than full capacity, thus avoiding temporary or permanent shutdown. It is considerably easier to extend the operations of running enterprises than to establish new ones. Moreover, even temporary shutdowns, intended to reduce labor and fixed costs during hard times, negatively affect investor and consumer confidence in firms. For this reason, even during the Great Recession temporary shutdowns were relatively rare as managers understood that it is better to suffer losses in the short-term than to endanger the enterprise's reputation among investors and consumers ( 26 ) .

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