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Social isolation induced negative emotions affect economic behavior: A natural experiment study

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Listed:
  • Jin, Shan
  • Liu, Tiancheng
  • Sun, Zepeng
  • Zhang, Xiaomeng

Abstract

Social isolation policies, often implemented during major public health or social crises, can exert profound effects on both mental health and economic behavior. This study exploits an abrupt campus-wide restriction on in-person interactions as a natural experiment to examine the consequences of prolonged isolation among young adults. Using both within-subject and between-subject analyses, we find that extended separation from normal social life significantly heightens negative emotions, which in turn partially mediate a decline in cooperative behavior and a rise in antisocial tendencies. Specifically, cooperation decreased by 25.2% and antisocial punishment rose by 86.2% after eight weeks of enforced isolation. These findings highlight the necessity of accounting for the psychological consequences of isolation policies when evaluating their broader societal impacts.

Suggested Citation

  • Jin, Shan & Liu, Tiancheng & Sun, Zepeng & Zhang, Xiaomeng, 2026. "Social isolation induced negative emotions affect economic behavior: A natural experiment study," Journal of Development Economics, Elsevier, vol. 179(C).
  • Handle: RePEc:eee:deveco:v:179:y:2026:i:c:s0304387825002287
    DOI: 10.1016/j.jdeveco.2025.103677
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    JEL classification:

    • C91 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Individual Behavior
    • D91 - Microeconomics - - Micro-Based Behavioral Economics - - - Role and Effects of Psychological, Emotional, Social, and Cognitive Factors on Decision Making

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