Journal of Economic Behavior & Organization

Online health information seeking behavior (e-HISB) is becoming increasingly common and the trend has accelerated as a result of the COVID-19 pandemic when individuals strongly relied upon the Internet to stay informed by becoming exposed to a wider array of health information. Despite e-HISB having become a global trend, very few empirical investigations have analyzed its potential influence on healthcare access and individuals' health status. In this paper, we try to fill this gap. We use data from the second SHARE Corona Survey, supplemented with data from the previous 8th wave of SHARE, and estimate a recursive model of e-HISB, healthcare access, and individuals' health status that accounts for individuals' unobserved heterogeneity...

A widely held belief is that autocratic governments have been more effective in reducing the movement of people to curb the spread of COVID-19. Using daily information on lockdown measures and geographic mobility across more than 130 countries, we find that autocratic regimes have indeed imposed more stringent lockdowns and relied more on contact tracing. However, we find no evidence that autocratic governments were more effective in reducing travel, and evidence to the contrary: compliance with the lockdown measures taken was higher in countries with democratically accountable governments...

We report the results of an experiment on willful information avoidance regarding measures to address Covid-19. In the experiment, participants choose between two options, each associated with a contribution to the Corona Fund of the Red Cross USA and a payment to the participant. Depending on the treatment, either the participants' payoff, the donation, both or none of these pieces of information were hidden, but revealable. With this design, we can separate motivated reasons for ignorance from non-motivated reasons, both of which are present in our data...

This study uses data from a survey of micro, small, and medium enterprises in India to document the impact of Covid-19 containment lockdowns on firms, their responses, and adaptation strategies. We find that the profits and sales declined substantially for the majority of firms. Temporary closures, pay cuts, and temporary lay-offs were the key measures utilized by firms to cope with the shock. Firms did not have adequate liquidity to last beyond six months, albeit the majority expected the pandemic to be over within that period...

This paper explores the causal link between the likelihood of re-migration to cities and the perceived threat of contracting COVID-19 using novel data on male reverse migrant workers in India. We find that reverse-migrants who believe there is a significant chance of contracting COVID-19 display a significantly lower likelihood of returning to their urban workplaces, regardless of their duration of migration. On the other hand, longer-duration migrants display a lower perceived chance of contracting COVID-19 than shorter-duration migrants...

I study the co-evolution between public opinion and party policy in situations of crises by investigating a policy U-turn of a major Austrian right-wing party (FPÖ) during the Covid-19 pandemic. My analysis suggests the existence of both i) a "Downsian" effect, which causes voters to adapt their party preferences based on policy congruence and ii) a "party identification" effect, which causes partisans to realign their policy preferences based on "their" party's platform. Specifically, I use individual-level panel data to show that i) "corona skeptical" voters who did not vote for the FPÖ in the pre-Covid-19 elections of 2019 were more likely to vote for the party after it embraced "corona populism", and ii) beliefs of respondents who declared that they voted for the FPÖ in 2019 diverged from the rest of the population in three out of four health-related dimensions only after the turn, causing them to underestimate the threat posed by Covid-19 compared to the rest of the population...

This paper examines the impacts of emergency cash-transfers on individuals' social distancing behaviour and beliefs about COVID-19. We focus on the impacts of "Auxilio Emergencial" (AE): a large-scale cash-transfer in Brazil targeting low-income individuals who were unemployed or informally employed during the pandemic. To identify causal effects we exploit exogenous variation, arising from the AE design, in individuals' access to the cash-transfer programme. Using data from an online survey, our results suggest that eligibility to the emergency cash transfer led to a reduced likelihood of individuals contracting COVID-19, likely to have been driven by a reduction in working hours...

Political trust is an important predictor of compliance with government policies, especially in the face of natural disasters or public health emergencies. During the COVID-19 pandemic, for example, multiple studies related political trust to increased compliance with mobility restrictions. Yet these findings come mostly from high-income countries where political trust and wealth correlate positively, thus hindering causal inference. In Latin America, both variables correlate negatively, allowing for better testing of competing explanations...

We systematically examine the acute impact of exposure to a public health crisis on anti-social behaviour and economic decision-making using unique experimental panel data from China, collected just before the outbreak of COVID-19 and immediately after the first wave was overcome. Exploiting plausibly exogenous geographical variation in virus exposure coupled with a dataset of longitudinal experiments, we show that participants who were more intensely exposed to the virus outbreak became more anti-social than those with lower exposure, while other aspects of economic and social preferences remain largely stable...

Our study investigates the potential impact that COVID-19 and lockdown restrictions may have had on drug utilization and the role of patient age and education in reshaping it. We focused on patients affected by diabetes mellitus, who are likely to suffer a higher degree of morbidity and mortality due to COVID-19. We used a bi-monthly administrative panel dataset from January 2019 to December 2020 from Liguria (Italy), one of the regions with the highest number of individuals over the age of 65 in Europe. The results demonstrated that, after the initial shock, when patients tried to increase their personal stock of drugs to overcome the risk of possible additional barriers generated by the coronavirus, the hoarding effect almost disappeared...

The negative health effects and mortality caused by the COVID-19 pandemic disproportionately fell upon older and disabled people. Protecting these vulnerable groups has been a key policy priority throughout the pandemic and related vaccination campaigns. Using data from the latest survey of the UK Household Longitudinal Study on COVID-19 we found that people who receive informal care have higher probability of being infected when compared to those not receiving informal care. Further, we found that care recipients who are in the lowest income groups have a higher probability of catching the virus when compared to those in the highest income groups...

This study investigates how the COVID-19 outbreak has shaped the volatility spillover between oil and Gulf Cooperation Council (GCC) stock markets. Contagion analysis is conducted by implementing a vector error correction (VECM) asymmetric BEKK model, wherein both cointegration and asymmetric features are considered. Financial market uncertainty caused by the recent health crisis is captured using Baker et al.'s (2020) newly developed infectious disease tracker. Our results indicate a significant discrepancy in the GCC group, as shock and volatility linkages between oil and equities are more apparent for some countries but not for others...

We show that compensation measures aimed at improving the fairness of a crisis policy response can unintendedly nudge compliance with emergency rules. We combine information on the distribution of relief funds across Italian municipalities during the novel coronavirus pandemic with data tracking citizens' movements through mobile devices and navigation systems. To assess the impact of transfers on compliance, we exploit a sharp kink schedule in the allocation of funds. The empirical analysis provides evidence that compliance increased with transfers, suggesting that the observance of emergency rules also depends on the fairness of the pandemic policy response...

This paper explores the evolution of inequality of opportunity in the prevalence of chronic diseases along the life cycle and across different birth cohorts for individuals aged 50 or older and residing in 13 European countries. We adopt an ex-ante parametric approach and rely on the dissimilarity index as our reference inequality metric. In addition to a commonly used set of circumstances, we pay particular attention to the role of adverse early-life conditions, such as the experience of harm and the quality of the relationship with parents...

We build an evolutionary game-theoretic model of the interaction between policymakers and experts in shaping the policy response to the COVID-19 pandemic. Players' decisions concern two alternative strategies of pandemic management: a "hard" approach, enforcing potentially unpopular measures such as strict confinement orders, and a "soft" approach, based upon voluntary and short-lived social distancing. Policymakers' decisions may also rely upon expert advice. Unlike experts, policymakers are sensitive to a public consensus incentive that makes lifting restrictions as soon as possible especially desirable...

COVID-19 outbreaks at nursing homes during the recent pandemic have received ample media coverage and may have lasting negative impacts on individuals' perception of nursing homes. We argue that this could have sizable and persistent implications for savings and long-term care policies. Our theoretical model predicts that higher nursing home aversion should induce higher savings and stronger support for policies subsidizing home care. Based on a survey of Canadians aged 50 to 69, we document that higher nursing home aversion is widespread: 72% of respondents are less inclined to enter a nursing home because of the pandemic...

Longevity expectations (LE) are subjective assessments of future health status that can influence a number of individual health protective decisions. This is especially true during a pandemic such as COVID-19, as the risk of ill health depends more than ever on such protective decisions. This paper exploits differences in LE to examine the causal effect of LE on protective health behaviours and a number of decisions around access to health care, using data from the Survey of Health Ageing and Retirement in Europe...

This paper studies the formation and the spread of crisis-driven racial animus during the coronavirus pandemic. Exploiting plausibly exogenous variation in the timing of the first COVID-19 diagnosis across US areas, we find that the first local case leads to an immediate increase in local anti-Asian animus, as measured by Google searches and Twitter posts that include a commonly used derogatory racial epithet. This rise in animus specifically targets Asians and mainly comes from users who use the epithet for the first time...

Natural disasters raise challenging trade-offs between public health safety and inalienable rights like the active involvement in political choices through voting. We exploit a quasi-experimental setting provided by multiple ballots across regions and municipalities during the Italian 2020 elections to estimate the effect of voters' turnout on the spread of COVID-19. By employing an event-study design with a two-stage Control Function strategy, we find that post-poll new COVID infections increased by an average of 1...

Using two large-scale surveys among households, we examine the drivers of public trust in banks, insurance companies, BigTechs, and other people in the United States and the Netherlands, and analyse whether the COVID-19 pandemic has affected public trust. Our results suggest that the COVID-19 pandemic did not have much effect on trust in financial institutions in the US and the Netherlands. However, trust in BigTechs and trust in other people declined in both countries, especially in the US. Our regression results show that the relationship between respondents' characteristics and (changes in) trust differs across the US and the Netherlands...