{"title":"Toward a More Strategic National Stockpile","authors":"Troy A. Rule","doi":"10.2139/ssrn.3662799","DOIUrl":"https://doi.org/10.2139/ssrn.3662799","url":null,"abstract":"The COVID-19 pandemic has uncovered major deficiencies in the United States’ approach to stockpiling for emergencies. States, cities and hospitals across the country had inadequate stores of critical medical items on hand when the pandemic reached US soil, and the federal government’s Strategic National Stockpile proved far too small to fill this inventory gap. As nationwide shortages worsened, many state governments began bidding against each other to procure scarce medical supplies — a distribution approach that inherently disadvantaged low-income and minority communities and left countless health care professionals and staff ill-equipped to protect themselves against a potentially deadly virus. These failings have generated an unprecedented push to reform the nation’s stockpiling policy structure. This Article uses a simple stockpiling cost-benefit model to highlight shortcomings in the existing US stockpiling policy regime and to identify specific new policy strategies capable of addressing them. Among other things, US stockpiling policies need to better account for important differences in the rotatability of supplies and should more aggressively incentivize private stockpiling of the most rotatable emergency items. Reshaping commandeering laws and price-gouging restrictions could also do much to strengthen private incentives to stockpile and could even help to clarify how states and the federal government share responsibilities in the nation’s stockpiling effort. Additional federal support is likewise needed to incentivize the build-out and maintenance of domestic supply chains for the least-rotatable emergency goods. These reforms and certain related policy changes could help to ensure that the nation is far better equipped to respond the next time disaster strikes.","PeriodicalId":20373,"journal":{"name":"Political Economy - Development: Health eJournal","volume":"27 1","pages":""},"PeriodicalIF":0.0,"publicationDate":"2020-07-28","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"75051768","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Assessing and Addressing the Coronavirus-Induced Economic Crisis: Evidence From 1.5 Billion Sales Invoices","authors":"Zhuo Chen, Pengfei Li, Li Liao, Zhengwei Wang","doi":"10.2139/ssrn.3661014","DOIUrl":"https://doi.org/10.2139/ssrn.3661014","url":null,"abstract":"We probe the effects of the COVID-19 lockdown on business activities in China by exploiting big data on 1.5 billion sales invoices. Using a difference-in-differences approach, we estimate that the average drop in sales is between 23% and 35%, depending on firm size, for the 12-week period after Wuhan's lockdown. The unprecedented plunge in countrywide economic activities is more evident in the first eight weeks, and firm sales gradually resume to 85% of the normal level afterward. Firms in industries requiring more intensive face-to-face interactions suffer more during the public health measures. Also, cities relying on investment-driven economic growth are more resilient. Lastly, local governments' economic stimulus policies, aimed at alleviating financial losses for small and micro firms, are actually more effective for medium-sized and large firms. Our results provide implications for other economies seeking to develop strategies to contain the disease and reopen the economy.","PeriodicalId":20373,"journal":{"name":"Political Economy - Development: Health eJournal","volume":"427 1","pages":""},"PeriodicalIF":0.0,"publicationDate":"2020-07-27","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"75894177","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Were Stay-at-Home Orders During Covid-19 Harmful for Business? The Market’s View","authors":"Chen Chen, S. Dasgupta, Thanh D. Huynh, Ying Xia","doi":"10.2139/ssrn.3660246","DOIUrl":"https://doi.org/10.2139/ssrn.3660246","url":null,"abstract":"We study the market reactions following staggered implementations of lockdowns across U S states during Covid-19 We find that returns on firms located in lock","PeriodicalId":20373,"journal":{"name":"Political Economy - Development: Health eJournal","volume":"12 1","pages":""},"PeriodicalIF":0.0,"publicationDate":"2020-07-25","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"77322016","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"The Geography of the Effectiveness and Consequences of COVID-19 Measures: Global Evidence","authors":"S. Asongu, S. Diop, J. Nnanna","doi":"10.2139/ssrn.3657628","DOIUrl":"https://doi.org/10.2139/ssrn.3657628","url":null,"abstract":"This study has: (i) analysed the economic impact of the Covid-19 pandemic, (ii) evaluated the effectiveness and relevance of different measures against the pandemic and (iii) examined nexuses between the corresponding measures and economic outcomes. The study uses a sample of 186 countries divided into four main regions, notably: Asia-Pacific and the Middle East, Europe, Africa and America. 34 preventing and mitigating measures against the Covid-19 pandemic are classified into five main categories: lockdown, movement restrictions, governance and economic, social distancing, and public health measures. The empirical evidence is based on comparative difference in means tests and correlation analyses. The findings show how the effectiveness and consequences of the Covid-19 measures are different across regions. In adopting the relevant policies to fight the ongoing pandemic, the comparative insights from the findings in the study are worthwhile. Inter alia: (i) from a holistic perspective, only European countries have favourably benefited from the Covid-19 measures; (ii) lockdown measures at the global level have not been significant in reducing the pandemic; (iii) the restriction of movement measure has been relevant in curbing the spread in the American continent; (iv) social distancing has been productive in Europe and counter-productive in Africa; (v) governance and economic measures have exclusively been relevant in Europe and (vi) overall public health measures have not had the desired outcomes in flattening the infection curve probably because most of the underlying measures are awareness decisions or oriented toward people already infected.","PeriodicalId":20373,"journal":{"name":"Political Economy - Development: Health eJournal","volume":"91 1","pages":""},"PeriodicalIF":0.0,"publicationDate":"2020-07-21","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"83459707","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Governments' Responses to COVID-19 and the Implications of the Governance and Control of the Pandemic","authors":"J. Sobieraj, D. Metelski","doi":"10.2139/ssrn.3707251","DOIUrl":"https://doi.org/10.2139/ssrn.3707251","url":null,"abstract":"National governments have their individual strategies to combat the COVID-19 pandemic which largely boil down to managing restrictive policies. In other words, individual governments introduce and lift appropriate restrictions depending on the development of the epidemic situation in their own countries. Therefore, throughout the entire duration of the COVID-19 epidemic, national governments choose restrictions and policies in relation to the scale of the problems arising, taking into account both medical and economic factors. Based on the Oxford COVID-19 Government Response Tracker (OxCGRT), covering the period from 1st January to 8th June of 2020 (160 days in total), we have developed a longitudinal data model that shows structural differences in crisis management at national level. Using an innovative index developed by Oxford University staff, which combines different measures of government reactions, we describe the difference in government reactions, showing how changing government responses affects the rate of new infections.","PeriodicalId":20373,"journal":{"name":"Political Economy - Development: Health eJournal","volume":"34 1","pages":""},"PeriodicalIF":0.0,"publicationDate":"2020-07-15","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"78742597","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Projecting Unemployment Durations: A Factor-Flows Simulation Approach with Application to the Covid-19 Recession","authors":"Gabriel Chodorow-reich, J. Coglianese","doi":"10.3386/w27566","DOIUrl":"https://doi.org/10.3386/w27566","url":null,"abstract":"Abstract We propose a three-step factor-flows simulation-based approach to forecast the duration distribution of unemployment. Step 1: estimate individual transition hazards across employment, temporary layoff, permanent layoff, quitter, entrant, and out of the labor force, with each hazard depending on an aggregate component as well as an individual’s labor force history. Step 2: relate the aggregate components to the overall unemployment rate using a factor model. Step 3: combine the individual duration dependence, factor structure, and an auxiliary forecast of the unemployment rate to simulate a panel of individual labor force histories. Applying our approach to the November Blue Chip forecast of the COVID-19 recession, we project that 750,000 workers laid off in April 2020 remain unemployed eight months later. Total long-term unemployment rises thereafter and eventually reaches 4.2 million individuals unemployed for more than 26 weeks and 1.4 million individuals unemployed for more than 46 weeks. Long-term unemployment rises even more in a more pessimistic recovery scenario, but remains below the level in the Great Recession due to a high amount of labor market churn.","PeriodicalId":20373,"journal":{"name":"Political Economy - Development: Health eJournal","volume":"13 1","pages":""},"PeriodicalIF":0.0,"publicationDate":"2020-07-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"75507118","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"The Effect of Containment Measures on the Covid-19 Pandemic","authors":"Pragyan Deb, D. Furceri, J. Ostry, Nour Tawk","doi":"10.5089/9781513550268.001.A001","DOIUrl":"https://doi.org/10.5089/9781513550268.001.A001","url":null,"abstract":"Countries have implemented several containment measures to halt the spread of the 2019\u0000coronavirus disease, but it remains unclear the extent to which these unprecedented measures\u0000have been successful. We examine this question using daily data on the number of\u0000coronavirus disease cases as well as on real-time containment measures implemented by\u0000countries. Results suggest that these measures have been very effective in flattening the\u0000“pandemic curve”, but there is significant heterogeneity across countries. Effectiveness is\u0000enhanced when measures are implemented quickly, where de facto mobility is curtailed, in\u0000countries with lower temperatures and population density, as well as in countries with a\u0000larger share of the elderly in total population and stronger health systems. We also find that\u0000easing of containment measures has resulted in an increase in the number of cases, but the\u0000effect has been lower (in absolute value) than that from a tightening of measures.","PeriodicalId":20373,"journal":{"name":"Political Economy - Development: Health eJournal","volume":"23 1","pages":""},"PeriodicalIF":0.0,"publicationDate":"2020-07-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"90072546","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Effects of State Covid-19 Closure Policy on Non-Covid-19 Health Care Utilization","authors":"Engy Ziedan, K. Simon, Coady Wing","doi":"10.3386/w27621","DOIUrl":"https://doi.org/10.3386/w27621","url":null,"abstract":"The U.S. health care system has experienced great pressure since early March 2020 as it pivoted to providing necessary care for COVID-19 patients. But there are signs that non-COVID-19 care use declined during this time period. We examine near real time data from a nationwide electronic healthcare records system that covers over 35 million patients to provide new evidence of how non-COVID-19 acute care and preventive/primary care have been affected during the epidemic. Using event study and difference-in-difference models we find that state closure policies (stay-at-home or non-essential business closures) are associated with large declines in ambulatory visits, with effects differing by type of care. State closure policies reduced overall outpatient visits by about 15-16 percent within two weeks. Outpatient visits for health check-ups and well care experience very large declines during the epidemic, with substantial effects from state closure policies. In contrast, mental health outpatient visits declined less than other care, and appear less affected by state closure policies. We find substitution to telehealth modalities may have played an important role in mitigating the decline in mental health care utilization. Aggregate trends in outpatient visits show a 40% decline after the first week of March 2020, only a portion of which is attributed to state policy. A rebound starts around mid April that does not appear to be explained by state reopening policy. Despite this rebound, care visits still remain below the pre-epidemic levels in most cases.","PeriodicalId":20373,"journal":{"name":"Political Economy - Development: Health eJournal","volume":"1 1","pages":""},"PeriodicalIF":0.0,"publicationDate":"2020-07-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"76115596","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"The Dynamics of the Smoking Wage Penalty","authors":"Michael E Darden, J. Hotchkiss, M. Pitts","doi":"10.3386/w27567","DOIUrl":"https://doi.org/10.3386/w27567","url":null,"abstract":"Cigarette smokers earn significantly less than nonsmokers, but the magnitude of the smoking wage gap and the pathways by which it originates are unclear. Proposed mechanisms often focus on spot differences in employee productivity or employer preferences, neglecting the dynamic nature of human capital development and addiction. In this paper, we formulate a dynamic model of young workers as they transition from schooling to the labor market, a period in which the lifetime trajectory of wages is being developed. We estimate the model with data from the National Longitudinal Survey of Youth, 1997 Cohort, and we simulate the model under counterfactual scenarios that isolate the contemporaneous effects of smoking from dynamic differences in human capital accumulation and occupational selection. Results from our preferred model, which accounts for unobserved heterogeneity in the joint determination of smoking, human capital, labor supply, and wages, suggest that continued heavy smoking in young adulthood results in a wage penalty at age 30 of 15.9% and 15.2% for women and men, respectively. These differences are much smaller than the raw difference in means in wages at age 30. We show that the contemporaneous effect of heavy smoking net of any life-cycle effects explains 62.9% of the female smoking wage gap but only 20.4% of the male smoking wage gap.","PeriodicalId":20373,"journal":{"name":"Political Economy - Development: Health eJournal","volume":"20 1","pages":""},"PeriodicalIF":0.0,"publicationDate":"2020-07-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"87080551","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Alexander W. Bartik, Zoë B. Cullen, E. Glaeser, Michael Luca, Christopher Stanton, Adi Sunderam
{"title":"The Targeting and Impact of Paycheck Protection Program Loans to Small Businesses","authors":"Alexander W. Bartik, Zoë B. Cullen, E. Glaeser, Michael Luca, Christopher Stanton, Adi Sunderam","doi":"10.3386/w27623","DOIUrl":"https://doi.org/10.3386/w27623","url":null,"abstract":"The Paycheck Protection Program (PPP) aimed to quickly deliver hundreds of billions of dollars of loans to small businesses, with the loans administered via private banks. In this paper, we use firm-level data to document the demand and supply of PPP funds. Using an instrumental variables approach, we find that PPP loans led to a 14 to 30 percentage point increase in a business’s expected survival, and a positive but imprecise effect on employment. Moreover, the effects on survival were heterogeneous and highlight an important tradeoff faced by policymakers: while administering the loans via private banks allowed for rapid delivery of funds, it also limited the government’s ability to target the funding - instead allowing pre-existing connections between businesses and banks to determine which firms would benefit from the program.","PeriodicalId":20373,"journal":{"name":"Political Economy - Development: Health eJournal","volume":"33 1","pages":""},"PeriodicalIF":0.0,"publicationDate":"2020-07-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"84310626","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}