The world economy was slowing down even before Covid-19 hit. Many countries were already using "depression style" economic policies with low interest rates and big budget deficits. When the pandemic hit, governments had to spend even more money to help businesses and workers. But this made the problem of too much debt even worse. Countries with strong rules about how much they can spend had less debt before the pandemic, so they could afford to help their economies more. Having strict fiscal rules can help countries avoid too much debt and still be able to help out during crises like the pandemic.