Disentangling Covid-19, Economic Mobility, and Containment Policy Shocks

Annika Camehl, M Rieth

Research output: Book/Report/Inaugural speech/Farewell speechReportAcademic

Abstract

We study the dynamic impact of Covid-19, economic mobility, and containment policy shocks. We use Bayesian panel structural vector autoregressions with daily data for 44 countries, Identified through sign and zero restrictions. Incidence and mobility shocks raise cases and deaths significantly for two months. Restrictive policy shocks lower mobility immediately, cases after one week, and deaths after three weeks. Non-pharmaceutical interventions explain half of the variation inmobility, cases, and deaths worldwide. These flattened the pandemic curve, while deepening the global mobility recession. The policy tradeoff is 1p.p. less mobility per day for 9% fewer deaths after two months.
Original languageEnglish
PublisherTinbergen Institute
Number of pages37
EditionTinbergen Institute Discussion Paper TI 2021-018/VI
Publication statusIn preparation - 2021

Publication series

SeriesTinbergen Institute Discussion Paper
VolumeTI 2021-018/VI

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