The micro-economic effects of COVID-19 containment measures: A simple model and evidence from China.

ABSTRACT: Optimizing the trade-off between economic growth and public health is a major goal of public administration, especially during public health events. Although containment measures are widely used to combat the Covid-19 outbreak, it is still debated how the measures affect the economy. Using a simplified susceptible-infected-recovered (SIR) model, this study investigates the dynamic impact of lockdown policy on social costs during the epidemic and the underlying mechanism, revealing that the lockdown policy has both a "shutdown effect" and an "anti-epidemic effect", and should be implemented and lifted in a timely manner. Based on a micro-level dataset of 57,547 private enterprises in China in 2020, this study provided empirical evidence for the presence of negative "shutdown effect" and pos

SUBMITTER: Chen W 

PROVIDER: S-EPMC10351727 | biostudies-literature | 2023

REPOSITORIES: biostudies-literature