IDEAS home Printed from https://ideas.repec.org/a/eee/jeborg/v209y2023icp113-140.html
   My bibliography  Save this article

The impact of corona populism: Empirical evidence from Austria and theory

Author

Listed:
  • Mellacher, Patrick

Abstract

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. Using aggregate-level panel data, I study whether the turn has produced significant behavioral differences which could be observed in terms of reported cases and deaths per capita. Paradoxically, after the turn the FPÖ vote share is significantly positively correlated with deaths per capita, but not with the reported number of infections. I hypothesize that this can be traced back to a self-selection bias in testing, which causes a correlation between the number of “corona skeptics” and the share of unreported cases after the turn. I find empirical support for this hypothesis in individual-level data from a Covid-19 prevalence study that involves information about participants’ true vs. reported infection status. I finally study a simple heterogeneous mixing epidemiological model and show that a testing bias can indeed explain the apparent paradox of an increase in deaths without an increase in reported cases. My results can, among others, be used to enrich formal analyses regarding the co-evolution between voter and party behavior.

Suggested Citation

  • Mellacher, Patrick, 2023. "The impact of corona populism: Empirical evidence from Austria and theory," Journal of Economic Behavior & Organization, Elsevier, vol. 209(C), pages 113-140.
  • Handle: RePEc:eee:jeborg:v:209:y:2023:i:c:p:113-140
    DOI: 10.1016/j.jebo.2023.02.021
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0167268123000616
    Download Restriction: Full text for ScienceDirect subscribers only

    File URL: https://libkey.io/10.1016/j.jebo.2023.02.021?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to look for a different version below or search for a different version of it.

    Other versions of this item:

    References listed on IDEAS

    as
    1. Wright, Austin L. & Sonin, Konstantin & Driscoll, Jesse & Wilson, Jarnickae, 2020. "Poverty and economic dislocation reduce compliance with COVID-19 shelter-in-place protocols," Journal of Economic Behavior & Organization, Elsevier, vol. 180(C), pages 544-554.
    2. Osborne Martin J., 1993. "Candidate Positioning and Entry in a Political Competition," Games and Economic Behavior, Elsevier, vol. 5(1), pages 133-151, January.
    3. Jennifer D. Wu & Gregory A. Huber, 2021. "Partisan Differences in Social Distancing May Originate in Norms and Beliefs: Results from Novel Data," Social Science Quarterly, Southwestern Social Science Association, vol. 102(5), pages 2251-2265, September.
    4. Martin Lange & Ole Monscheuer, 2022. "Spreading the disease: Protest in times of pandemics," Health Economics, John Wiley & Sons, Ltd., vol. 31(12), pages 2664-2679, December.
    5. Aum, Sangmin & Lee, Sang Yoon (Tim) & Shin, Yongseok, 2021. "Inequality of fear and self-quarantine: Is there a trade-off between GDP and public health?," Journal of Public Economics, Elsevier, vol. 194(C).
    6. Bechtel, Michael M. & Hainmueller, Jens & Hangartner, Dominik & Helbling, Marc, 2015. "Reality Bites: The Limits of Framing Effects for Salient and Contested Policy Issues," Political Science Research and Methods, Cambridge University Press, vol. 3(3), pages 683-695, September.
    7. Daron Acemoglu & Victor Chernozhukov & Iván Werning & Michael D. Whinston, 2021. "Optimal Targeted Lockdowns in a Multigroup SIR Model," American Economic Review: Insights, American Economic Association, vol. 3(4), pages 487-502, December.
    8. Rodríguez-Pose, Andrés & Charron, Nicholas & Lapuente, Victor, 2022. "Uncooperative Society, Uncooperative Politics or Both? Trust, Polarisation, Populism and COVID-19 Deaths across European region," CEPR Discussion Papers 17046, C.E.P.R. Discussion Papers.
    9. Domenico Delli Gatti & Severin Reissl, 2022. "Agent-Based Covid economics (ABC): Assessing non-pharmaceutical interventions and macro-stabilization policies [Optimal Targeted Lockdowns in a Multi-Group SIR Model]," Industrial and Corporate Change, Oxford University Press and the Associazione ICC, vol. 31(2), pages 410-447.
    10. Facundo Piguillem & Liyan Shi, 2022. "Optimal Covid-19 Quarantine and Testing Policies," The Economic Journal, Royal Economic Society, vol. 132(647), pages 2534-2562.
    11. Joshua D. Angrist & Jörn-Steffen Pischke, 2009. "Mostly Harmless Econometrics: An Empiricist's Companion," Economics Books, Princeton University Press, edition 1, number 8769.
    12. Golnaz Baradaran Motie & Christopher Biolsi, 2021. "County‐Level Determinants Of Social Distancing (Or Lack Thereof) During The Covid‐19 Pandemic," Contemporary Economic Policy, Western Economic Association International, vol. 39(2), pages 264-279, April.
    13. Patrick Mellacher, 2022. "Endogenous viral mutations, evolutionary selection, and containment policy design," Journal of Economic Interaction and Coordination, Springer;Society for Economic Science with Heterogeneous Interacting Agents, vol. 17(3), pages 801-825, July.
    14. Allcott, Hunt & Boxell, Levi & Conway, Jacob & Gentzkow, Matthew & Thaler, Michael & Yang, David, 2020. "Polarization and public health: Partisan differences in social distancing during the coronavirus pandemic," Journal of Public Economics, Elsevier, vol. 191(C).
    15. Rainer Hegselmann & Ulrich Krause, 2002. "Opinion Dynamics and Bounded Confidence Models, Analysis and Simulation," Journal of Artificial Societies and Social Simulation, Journal of Artificial Societies and Social Simulation, vol. 5(3), pages 1-2.
    16. Grewenig, Elisabeth & Lergetporer, Philipp & Werner, Katharina & Woessmann, Ludger, 2020. "Do party positions affect the public's policy preferences? Experimental evidence on support for family policies," Journal of Economic Behavior & Organization, Elsevier, vol. 179(C), pages 523-543.
    17. Georgy Egorov & Konstantin Sonin, 2013. "A Political Theory of Populism," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 128(2), pages 771-805.
    18. Druckman, James N. & Peterson, Erik & Slothuus, Rune, 2013. "How Elite Partisan Polarization Affects Public Opinion Formation," American Political Science Review, Cambridge University Press, vol. 107(1), pages 57-79, February.
    19. Chernozhukov, Victor & Kasahara, Hiroyuki & Schrimpf, Paul, 2021. "Causal impact of masks, policies, behavior on early covid-19 pandemic in the U.S," Journal of Econometrics, Elsevier, vol. 220(1), pages 23-62.
    20. Glenn Ellison, 2020. "Implications of Heterogeneous SIR Models for Analyses of COVID-19," NBER Working Papers 27373, National Bureau of Economic Research, Inc.
    21. Thunström, Linda & Newbold, Stephen C. & Finnoff, David & Ashworth, Madison & Shogren, Jason F., 2020. "The Benefits and Costs of Using Social Distancing to Flatten the Curve for COVID-19," Journal of Benefit-Cost Analysis, Cambridge University Press, vol. 11(2), pages 179-195, July.
    22. Nicholas W. Papageorge & Matthew V. Zahn & Michèle Belot & Eline Broek-Altenburg & Syngjoo Choi & Julian C. Jamison & Egon Tripodi, 2021. "Socio-demographic factors associated with self-protecting behavior during the Covid-19 pandemic," Journal of Population Economics, Springer;European Society for Population Economics, vol. 34(2), pages 691-738, April.
    23. Charness, Gary & Gneezy, Uri, 2012. "Strong Evidence for Gender Differences in Risk Taking," Journal of Economic Behavior & Organization, Elsevier, vol. 83(1), pages 50-58.
    24. Ying Fan & A. Yeşim Orhun & Dana Turjeman, 2020. "Heterogeneous Actions, Beliefs, Constraints and Risk Tolerance During the COVID-19 Pandemic," NBER Working Papers 27211, National Bureau of Economic Research, Inc.
    25. Christian R. Proaño & Tomasz Makarewicz, 2021. "Belief-driven dynamics in a behavioral SEIRD macroeconomic model with sceptics," CAMA Working Papers 2021-51, Centre for Applied Macroeconomic Analysis, Crawford School of Public Policy, The Australian National University.
    26. Patrick Mellacher, 2021. "Opinion Dynamics with Conflicting Interests," Papers 2111.09408, arXiv.org.
    27. Milosh, Maria & Painter, Marcus & Sonin, Konstantin & Van Dijcke, David & Wright, Austin L., 2021. "Unmasking partisanship: Polarization undermines public response to collective risk," Journal of Public Economics, Elsevier, vol. 204(C).
    28. John M. Barrios & Efraim Benmelech & Yael V. Hochberg & Paola Sapienza & Luigi Zingales, 2020. "Civic Capital and Social Distancing during the Covid-19 Pandemic," NBER Working Papers 27320, National Bureau of Economic Research, Inc.
    29. Laurent Bergé, 2018. "Efficient estimation of maximum likelihood models with multiple fixed-effects: the R package FENmlm," DEM Discussion Paper Series 18-13, Department of Economics at the University of Luxembourg.
    30. Jung, Juergen & Manley, James & Shrestha, Vinish, 2021. "Coronavirus infections and deaths by poverty status: The effects of social distancing," Journal of Economic Behavior & Organization, Elsevier, vol. 182(C), pages 311-330.
    31. Nickell, Stephen J, 1981. "Biases in Dynamic Models with Fixed Effects," Econometrica, Econometric Society, vol. 49(6), pages 1417-1426, November.
    32. Per E. Gustafsod, 1998. "Gender Differences in Risk Perception: Theoretical and Methodological erspectives," Risk Analysis, John Wiley & Sons, vol. 18(6), pages 805-811, December.
    33. Anton Gollwitzer & Cameron Martel & William J. Brady & Philip Pärnamets & Isaac G. Freedman & Eric D. Knowles & Jay J. Van Bavel, 2020. "Partisan differences in physical distancing are linked to health outcomes during the COVID-19 pandemic," Nature Human Behaviour, Nature, vol. 4(11), pages 1186-1197, November.
    34. Mellacher, Patrick, 2020. "COVID-Town: An Integrated Economic-Epidemiological Agent-Based Model," MPRA Paper 103661, University Library of Munich, Germany.
    35. Simon Schweighofer & Frank Schweitzer & David Garcia, 2020. "A Weighted Balance Model of Opinion Hyperpolarization," Journal of Artificial Societies and Social Simulation, Journal of Artificial Societies and Social Simulation, vol. 23(3), pages 1-5.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Bertoli, Paola & Grembi, Veronica & Morelli, Massimo & Rosso, Anna Cecilia, 2023. "In medio stat virtus? Effective communication and preferences for redistribution in hard times," Journal of Economic Behavior & Organization, Elsevier, vol. 214(C), pages 105-147.
    2. Patrick Mellacher, 2022. "Endogenous viral mutations, evolutionary selection, and containment policy design," Journal of Economic Interaction and Coordination, Springer;Society for Economic Science with Heterogeneous Interacting Agents, vol. 17(3), pages 801-825, July.
    3. Martin Lange & Ole Monscheuer, 2022. "Spreading the disease: Protest in times of pandemics," Health Economics, John Wiley & Sons, Ltd., vol. 31(12), pages 2664-2679, December.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Abel Brodeur & David Gray & Anik Islam & Suraiya Bhuiyan, 2021. "A literature review of the economics of COVID‐19," Journal of Economic Surveys, Wiley Blackwell, vol. 35(4), pages 1007-1044, September.
    2. Etienne Farvaque & Hira Iqbal & Nicolas Ooghe, 2020. "Health politics? Determinants of US states’ reactions to COVID-19," Post-Print hal-03128875, HAL.
    3. Maxim Ananyev & Michael Poyker & Yuan Tian, 2021. "The safest time to fly: pandemic response in the era of Fox News," Journal of Population Economics, Springer;European Society for Population Economics, vol. 34(3), pages 775-802, July.
    4. Tian, Yuan & Caballero, Maria Esther & Kovak, Brian K., 2022. "Social learning along international migrant networks," Journal of Economic Behavior & Organization, Elsevier, vol. 195(C), pages 103-121.
    5. Bisin, Alberto & Moro, Andrea, 2022. "JUE insight: Learning epidemiology by doing: The empirical implications of a Spatial-SIR model with behavioral responses," Journal of Urban Economics, Elsevier, vol. 127(C).
    6. Milosh, Maria & Painter, Marcus & Sonin, Konstantin & Van Dijcke, David & Wright, Austin L., 2021. "Unmasking partisanship: Polarization undermines public response to collective risk," Journal of Public Economics, Elsevier, vol. 204(C).
    7. Aditya Goenka & Lin Liu & Manh-Hung Nguyen, 2020. "Modeling optimal quarantines under infectious disease related mortality," Working Papers 202025, University of Liverpool, Department of Economics.
    8. Callaway, Brantly & Li, Tong, 2023. "Policy evaluation during a pandemic," Journal of Econometrics, Elsevier, vol. 236(1).
    9. Nicola Fuchs-Schündeln & Dirk Krueger & André Kurmann & Etienne Lalé & Alexander Ludwig & Irina Popova, 2023. "The Fiscal and Welfare Effects of Policy Responses to the Covid-19 School Closures," IMF Economic Review, Palgrave Macmillan;International Monetary Fund, vol. 71(1), pages 35-98, March.
    10. Nicholas W. Papageorge & Matthew V. Zahn & Michèle Belot & Eline Broek-Altenburg & Syngjoo Choi & Julian C. Jamison & Egon Tripodi, 2021. "Socio-demographic factors associated with self-protecting behavior during the Covid-19 pandemic," Journal of Population Economics, Springer;European Society for Population Economics, vol. 34(2), pages 691-738, April.
    11. Shami, Labib & Lazebnik, Teddy, 2022. "Economic aspects of the detection of new strains in a multi-strain epidemiological–mathematical model," Chaos, Solitons & Fractals, Elsevier, vol. 165(P2).
    12. Anindya Ghose & Beibei Li & Meghanath Macha & Chenshuo Sun & Natasha Ying Zhang Foutz, 2020. "Trading Privacy for the Greater Social Good: How Did America React During COVID-19?," Papers 2006.05859, arXiv.org.
    13. Hausmann, Ricardo & Schetter, Ulrich, 2022. "Horrible trade-offs in a pandemic: Poverty, fiscal space, policy, and welfare," World Development, Elsevier, vol. 153(C).
    14. Mart n Gonzales-Eiras, Dirk Niepelt, 2023. "Optimal Epidemic Control," Diskussionsschriften dp2311, Universitaet Bern, Departement Volkswirtschaft.
    15. Austin L. Wright & Geet Chawla & Luke Chen & Anthony Farmer, 2020. "Tracking Mask Mandates during the COVID-19 Pandemic," Working Papers 2020-104, Becker Friedman Institute for Research In Economics.
    16. Bazzi, Samuel & Fiszbein, Martin & Gebresilasse, Mesay, 2021. "“Rugged individualism” and collective (in)action during the COVID-19 pandemic," Journal of Public Economics, Elsevier, vol. 195(C).
    17. Hensel, Lukas & Witte, Marc & Caria, A. Stefano & Fetzer, Thiemo & Fiorin, Stefano & Götz, Friedrich M. & Gomez, Margarita & Haushofer, Johannes & Ivchenko, Andriy & Kraft-Todd, Gordon & Reutskaja, El, 2022. "Global Behaviors, Perceptions, and the Emergence of Social Norms at the Onset of the COVID-19 Pandemic," Journal of Economic Behavior & Organization, Elsevier, vol. 193(C), pages 473-496.
    18. Korolev, Ivan, 2021. "Identification and estimation of the SEIRD epidemic model for COVID-19," Journal of Econometrics, Elsevier, vol. 220(1), pages 63-85.
    19. Pol Antràs & Stephen J. Redding & Esteban Rossi-Hansberg, 2023. "Globalization and Pandemics," American Economic Review, American Economic Association, vol. 113(4), pages 939-981, April.
    20. Yasushi Iwamoto, 2021. "Welfare economics of managing an epidemic: an exposition," The Japanese Economic Review, Springer, vol. 72(4), pages 537-579, October.

    More about this item

    Keywords

    Opinion dynamics; Pandemic; Covid-19; Heterogeneous mixing; Sir model; Economic epidemiology; Political polarization;
    All these keywords.

    JEL classification:

    • H12 - Public Economics - - Structure and Scope of Government - - - Crisis Management
    • H75 - Public Economics - - State and Local Government; Intergovernmental Relations - - - State and Local Government: Health, Education, and Welfare
    • I12 - Health, Education, and Welfare - - Health - - - Health Behavior
    • I18 - Health, Education, and Welfare - - Health - - - Government Policy; Regulation; Public Health

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:jeborg:v:209:y:2023:i:c:p:113-140. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/jebo .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.