The Impact of Covid-19 State Closure Orders on Consumer Spending, Employment, and Business Revenue

Details

• Alternative Title:
  J Public Health Manag Pract
• Personal Author:
  Dunphy, Christopher ; Miller, Gabrielle F. ; Rice, Ketra ; Vo, Linda ; Sunshine, Gregory ; McCord, Russell ; Howard-Williams, Mara ; Coronado, Fátima
• Description:
  Context:
  
  In response to the COVID-19 pandemic, states across the United States implemented various strategies to mitigate transmission of SARS-CoV-2 (the virus that causes COVID-19).
  
  Objective:
  
  To examine the effect of COVID-19–related state closures on consumer spending, business revenue, and employment, while controlling for changes in COVID-19 incidence and death.
  
  Design:
  
  The analysis estimated a difference-in-difference model, utilizing temporal and geographic variation in state closure orders to analyze their impact on the economy, while controlling for COVID-19 incidence and death.
  
  Participants:
  
  State-level data on economic outcomes from the Opportunity Insights data tracker and COVID-19 cases and death data from usafacts.org.
  
  Interventions:
  
  The mitigation strategy analyzed within this study was COVID-19–related state closure orders. Data on these orders were obtained from state government Web sites containing executive or administrative orders.
  
  Main Outcome Measures:
  
  Outcomes include state-level estimates of consumer spending, business revenue, and employment levels.
  
  Results:
  
  Analyses showed that although state closures led to a decrease in consumer spending, business revenue, and employment, they accounted for only a small portion of the observed decreases in these outcomes over the first wave of COVID-19.
  
  Conclusions:
  
  The impact of COVID-19 on economic activity likely reflects a combination of factors, in addition to state closures, such as individuals’ perceptions of risk related to COVID-19 incidence, which may play significant roles in impacting economic activity.
  
  
• Subjects:
  Commerce COVID-19 Employment Humans Pandemics SARS-CoV-2 United States
• Keywords:
  Community Mitigation State Closures
• Source:
  J Public Health Manag Pract. 28(1):43-49
• Pubmed ID:
  34016904
• Pubmed Central ID:
  PMC8589864
• Document Type:
  Journal Article
• Funding:
  CC999999/ImCDC/Intramural CDC HHSUnited States/
• Volume:
  28
• Issue:
  1
• Collection(s):
  CDC Public Access
• Main Document Checksum:
  urn:sha-512:4f92db38168ea7c8a9967bdbcd7aeb7b386b4e7434f35dc0452ce76cf6c96f80d442ec2edb09f39ff10d7336984cf315c0c7b523651fedfa9cddb8ed0ba349ef
• Download URL:
  https://stacks.cdc.gov/view/cdc/111711/cdc_111711_DS1.pdf
• File Type:
  [PDF - 452.53 KB ]