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Investigating the effects of COVID-19 and public health expenditure on global supply chain operations: an empirical study

Author

Listed:
  • Xuanlong Qin

    (Chang’an University)

  • Danish Iqbal Godil

    (Business Studies Department, Bahria Business School, Bahria University Karachi Campus)

  • Muhammad Kamran Khan

    (Northeast Normal University)

  • Salman Sarwat

    (Benazir Bhutto Shaheed University Lyari)

  • Sadaf Alam

    (Bahria University Islamabad Campus)

  • Laeeq Janjua

    (Poznan University of Economics)

Abstract

This fresh examination was a thought-provoking area that was required to be undertaken and to fill this gap, the researchers have examined the impact of Covid-19 and health expenditure on the global supply chain by utilizing balanced panel data for the period from January 2020 to June 2020. This study utilized a random effect, fixed effect, GMM, and FGLS approach. The outcomes of COVID-19 demonstrate a significant negative influence as per the FGLS model, whereas the health expenditure demonstrates a significant negative effect on the global supply chain under both the dynamic models i.e. GMM and FGLS. As far as manufacturing value-added is concerned it indicates a positive and significant influence on the global supply chain according to the FGLS model whereas, last but not least the logistics performance index has a significant positive effect on the global supply chain according to the results of GMM and FGLS models respectively. The global supply chain is the lifeline for the global economy; thus, it is suggested that under COVID-19 pandemic situation policymakers need to react quickly and take suitable policy actions to deal with this unprecedented pandemic driven economic crises and further the cross-border trading activities should not be stopped, rather governments should formulate smart lockdown strategies.

Suggested Citation

  • Xuanlong Qin & Danish Iqbal Godil & Muhammad Kamran Khan & Salman Sarwat & Sadaf Alam & Laeeq Janjua, 2022. "Investigating the effects of COVID-19 and public health expenditure on global supply chain operations: an empirical study," Operations Management Research, Springer, vol. 15(1), pages 195-207, June.
    • Handle: RePEc:spr:opmare:v:15:y:2022:i:1:d:10.1007_s12063-020-00177-6
    DOI: 10.1007/s12063-020-00177-6
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