Did the Bubble Burst? The Portuguese Economy during COVID-19

Abstract

In this paper we analyse the situation of the Portuguese Economy referring to the Covid-19. We start by contextualizing in the problematic "Bubble-Miracle"as described by Tomé, 2018. We then analyse the current situation in a Macroeconomic way, according to eight specific questions, and then we specify regarding four sectors, namely tourism, education, the public sector, and the industrial sector. We conclude that the Covid-19 is the ultimate and unexpected test to the Portuguese economy, and that it will contribute to solving the "Bubble vs. Miracle"question. Rather curiously, we believe that the Covid-19 will accelerate the change to the "Miracle"society, because solving the crisis will require changes that will direct the society towards the "Miracle"paradigm and will distance Portugal from the old and "Bubble"one.