I’m sure by now all must have heard that Germany and France have imposed second lockdown, and this news shall crush small business owners morale, and even effect those people who rely on jobs cause it’s quiet possible that they may never be employed again.
The first lockdown has already killed many small business and many shut their business and now if they lock everything once again it will cause irreparable damage as many will be left jobless including small business owners and what the government could do to help them is still not known and i do not think the government will do anything to help these small businesses.
The possibility that the government will do to overcome this is by using a social safety net, this is a policy that the government can do by providing loan relief, and providing cash assistance to societies and businesses to stay afloat, and accelerating government projects to open employment and employment opportunities. can absorb unemployment immediately. Funds for this can all be taken from the state budget or with additional state debt. This is why governments in European countries have predicted that sovereign debt will increase.