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Socioeconomic Network Heterogeneity and Pandemic Policy Response

Author

Listed:
  • Mohammad Akbarpour

    (Stanford University - Stanford Graduate School of Business)

  • Cody Cook

    (Stanford University - Stanford Graduate School of Business)

  • Aude Marzuoli

    (Replica)

  • Simon Mongey

    (University of Chicago - Department of Economics; NBER)

  • Abhishek Nagaraj

    (University of California, Berkeley - Haas School of Business)

  • Matteo Saccarola

    (University of Chicago - Department of Economics)

  • Pietro Tebaldi

    (University of Chicago - Department of Economics; NBER)

  • Shoshana Vasserman

    (Stanford University - Stanford Graduate School of Business)

  • Hanbin Yang

    (Harvard University - Harvard Business School)

Abstract

We develop a heterogeneous-agents network-based model to analyze alternative policies during a pandemic outbreak, accounting for health and economic trade-offs within the same empirical framework. We leverage a variety of data sources, including data on individuals’ mobility and encounters across metropolitan areas, health records, and measures of the possibility to be productively working from home. This combination of data sources allows us to build a framework in which the severity of a disease outbreak varies across locations and industries, and across individuals who differ by age, occupation, and preexisting health conditions. We use this framework to analyze the impact of different social distancing policies in the context of the COVID-19 outbreaks across US metropolitan areas. Our results highlight how outcomes vary across areas in relation to the underlying heterogeneity in population density, social network structures, population health, and employment characteristics. We find that policies by which individuals who can work from home continue to do so, or in which schools and firms alternate schedules across different groups of students and employees, can be effective in limiting the health and healthcare costs of the pandemic outbreak while also reducing employment losses.

Suggested Citation

  • Mohammad Akbarpour & Cody Cook & Aude Marzuoli & Simon Mongey & Abhishek Nagaraj & Matteo Saccarola & Pietro Tebaldi & Shoshana Vasserman & Hanbin Yang, 2020. "Socioeconomic Network Heterogeneity and Pandemic Policy Response," Working Papers 2020-75, Becker Friedman Institute for Research In Economics.
    • Handle: RePEc:bfi:wpaper:2020-75
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    References listed on IDEAS

    as
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    More about this item

    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
    • I18 - Health, Education, and Welfare - - Health - - - Government Policy; Regulation; Public Health

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