The mounting coronavirus outbreak in Turkey has caught the government in a feeble financial state, leaving millions at grave economic risk. While many governments have opted for direct cash payments to cushion the economic shock of the pandemic, Ankara has delivered little in this respect, having run out of financial resources since a currency crisis in 2018. Pressure is building up on the government to deliver more to the vulnerable masses as experts warn the country has reached a make-or-break point in containing the fast-spreading contagion.

The concept of “helicopter money” — or free cash as if dropped from the sky — has emerged as a major social and economic measure in government efforts across the world to cushion the impact of the COVID-19 pandemic. The unconventional idea gained popularity during the 2008-2009 global financial crisis and earned Ben Bernanke, then the head of the US Federal Reserve, the moniker “helicopter Ben” for his advocacy of the concept. 

By sharply hitting consumer demand, the coronavirus pandemic has set off a domino effect across economies that threatens to sink companies and households alike. Scrambling to contain the damage, the US, British and other governments have opted for dropping “helicopter money” to wage workers and the poor. 

The large-scale programs in the 2008-2009 crisis relied mostly on monetary expansion measures by central banks, chiefly the US Federal Reserve, while fiscal expansion and public spending packages by governments were less prevalent. Today, however, monetary expansions appear less helpful in easing the panic as opposed to fiscal expansion policies and spending pledges by governments. The idea of “helicopter drops” on wage workers, the poor or those losing jobs is gaining support.