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Pandemic experiences and the post-lockdown economic recovery: Evidence from China

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  • Liu, Yanyan
  • Ma, Shuang
  • Mu, Ren

Abstract

This study investigates the impacts of pandemic experiences on economic recovery following pandemic lockdowns. Drawing upon multiple big data sources from China and applying a difference-in-differences-in-differences (DDD) framework, we examine the patterns of human mobility and job postings before, during, and after the initial pandemic lockdown. Our results reveal a significant lag in economic recovery among epicenter cities that experienced the most severe outbreaks and endured the longest lockdown periods compared to other cities. We conclude that the pace of post-lockdown recovery of mobility and job creation in a region can be significantly influenced by its pandemic experiences.

Suggested Citation

  • Liu, Yanyan & Ma, Shuang & Mu, Ren, 2024. "Pandemic experiences and the post-lockdown economic recovery: Evidence from China," China Economic Review, Elsevier, vol. 84(C).
    • Handle: RePEc:eee:chieco:v:84:y:2024:i:c:s1043951x24000142
    DOI: 10.1016/j.chieco.2024.102125
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    References listed on IDEAS

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    1. Coibion, Olivier & Gorodnichenko, Yuriy & Weber, Michael, 2020. "Labor Markets During the Covid-19 Crisis: A Preliminary View," Department of Economics, Working Paper Series qt7rx7t91p, Department of Economics, Institute for Business and Economic Research, UC Berkeley.
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    3. Guojun He & Yuhang Pan & Takanao Tanaka, 2020. "The short-term impacts of COVID-19 lockdown on urban air pollution in China," Nature Sustainability, Nature, vol. 3(12), pages 1005-1011, December.
    4. Fairlie, Robert W., 2020. "The Impact of COVID-19 on Small Business Owners: Evidence of Early-Stage Losses from the April 2020 Current Population Survey," IZA Discussion Papers 13311, Institute of Labor Economics (IZA).
    5. Kees Jan Van Garderen & Chandra Shah, 2002. "Exact interpretation of dummy variables in semilogarithmic equations," Econometrics Journal, Royal Economic Society, vol. 5(1), pages 149-159, June.
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    7. Jose Maria Barrero & Nicholas Bloom & Steven J. Davis, 2020. "COVID-19 Is Also a Reallocation Shock," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 51(2 (Summer), pages 329-383.
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    More about this item

    Keywords

    COVID-19; Population mobility; Job postings; Economic recovery; China;
    All these keywords.

    JEL classification:

    • J60 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - General
    • H12 - Public Economics - - Structure and Scope of Government - - - Crisis Management
    • I18 - Health, Education, and Welfare - - Health - - - Government Policy; Regulation; Public Health

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