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Unmasking the demand for masks: Analytics of mandating coronavirus masks

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  • Rajeev K. Goel
  • Shoji Haruna

Abstract

This paper analytically examines the demand for surgical masks following the recent health precautions due to coronavirus. Using a simple linear demand curve and alternatively examining the impacts of requirements that mandate (a) the wearing of masks by frontline workers; (b) suggested but not required masking by the whole public; and (c) compulsory masking by the whole public. The impacts of the different scenarios on the price elasticity of demand are determined along with the slope (or the rate of change) of elasticity. Some of these results differ when a non‐linear demand curve is considered instead. The equilibrium mask prices increase when masks are universally mandated, whereas the consumer surplus is higher when masks are recommended but not mandated. However, the ranking of consumer surplus is shown to be sensitive to the supply elasticity of masks. These considerations enable a structured means to view the demand implications of masking requirements and provide some food for policy thought.

Suggested Citation

  • Rajeev K. Goel & Shoji Haruna, 2021. "Unmasking the demand for masks: Analytics of mandating coronavirus masks," Metroeconomica, Wiley Blackwell, vol. 72(3), pages 580-591, July.
    • Handle: RePEc:bla:metroe:v:72:y:2021:i:3:p:580-591
    DOI: 10.1111/meca.12334
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    3. Rajeev Goel, 2009. "Technological complementarities, demand, and market power," Netnomics, Springer, vol. 10(2), pages 161-170, October.
    4. Goel, Rajeev K. & Saunoris, James W. & Goel, Srishti S., 2021. "Supply chain performance and economic growth: The impact of COVID-19 disruptions," Journal of Policy Modeling, Elsevier, vol. 43(2), pages 298-316.
    5. Seungil Yum, 2020. "Social Network Analysis for Coronavirus (COVID‐19) in the United States," Social Science Quarterly, Southwestern Social Science Association, vol. 101(4), pages 1642-1647, July.
    6. Rajeev K. Goel & Michael A. Nelson, 2021. "Drivers of COVID-19 vaccinations: vaccine delivery and delivery efficiency in the United States," Netnomics, Springer, vol. 22(1), pages 53-69, June.
    7. Feenstra, Robert C., 2003. "A homothetic utility function for monopolistic competition models, without constant price elasticity," Economics Letters, Elsevier, vol. 78(1), pages 79-86, January.
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    Cited by:

    1. Goel, Rajeev K. & Saunoris, James W. & Goel, Srishti S., 2021. "Supply chain performance and economic growth: The impact of COVID-19 disruptions," Journal of Policy Modeling, Elsevier, vol. 43(2), pages 298-316.
    2. Goel, Rajeev K. & Nelson, Michael A. & Goel, Viraat Y., 2021. "COVID-19 vaccine rollout—scale and speed carry different implications for corruption," Journal of Policy Modeling, Elsevier, vol. 43(3), pages 503-520.
    3. Aziz N. Berdiev & Rajeev K. Goel & James W. Saunoris, 2022. "Do disease epidemics force economic activity underground? International evidence," Contemporary Economic Policy, Western Economic Association International, vol. 40(2), pages 263-282, April.
    4. Rajeev K. Goel & James R. Jones & James W. Saunoris, 2023. "Explaining vaccine hesitancy: A COVID‐19 study of the United States," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 44(2), pages 1073-1087, March.
    5. Rajeev K. Goel & James R. Jones, 2022. "Managing the risk of COVID‐19 via vaccine passports: Modeling economic and policy implications," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 43(6), pages 2578-2586, September.
    6. Rajeev K. Goel & Michael A. Nelson, 2023. "Aggressive COVID‐19 lockdown policies: What factors significantly drove them across nations?," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 44(4), pages 2211-2222, June.
    7. Alfano, Vincenzo & Capasso, Salvatore & Ercolano, Salvatore & Goel, Rajeev K., 2022. "Death takes no bribes: Impact of perceived corruption on the effectiveness of non-pharmaceutical interventions at combating COVID-19," Social Science & Medicine, Elsevier, vol. 301(C).

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