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A bridge between sentiment indicators: What does Google Trends tell us about COVID-19 pandemic and employment expectations in the EU new member states?

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  • Simionescu, Mihaela
  • Raišienė, Agota Giedrė

Abstract

The sentiment indicators tend to reflect better the social tensions caused by COVID-19 pandemic. In this context, the aim of this paper is to reflect the relationship between employment expectations and tensions related to new coronavirus. The impact of COVID-19 pandemic on employment expectations is assessed using the data collected by Google Trends in Panel Autoregressive Distributed Lag (panel ARDL) models and Bayesian multilevel model. The results indicated that COVID-19 searched on Google had a negative impact on employment expectations in the EU New Member States on the period March 2020-May 2021. The unemployment and inflation rate had also a negative effect, while improvement in economic sentiment indicator has increased the employment expectations. These results are the support of economic policies to reduce labour market tensions and improve employment expectations.

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  • Simionescu, Mihaela & Raišienė, Agota Giedrė, 2021. "A bridge between sentiment indicators: What does Google Trends tell us about COVID-19 pandemic and employment expectations in the EU new member states?," Technological Forecasting and Social Change, Elsevier, vol. 173(C).
  • Handle: RePEc:eee:tefoso:v:173:y:2021:i:c:s004016252100603x
    DOI: 10.1016/j.techfore.2021.121170
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