Recession and recovery from the pandemic
Recession and recovery from the pandemic
We develop an SIR-macroeconomic model with virus detection and inequality to study their implications for economic and health consequences during a pandemic crisis. We find a two-way relationship between the pandemic recession and inequality that exacerbate each other although such a vicious circle could be broken by accurate and extensive testing. This mitigation effect can be improved given complementary arrangements such as social protection. The extensive virus detection could not only be a better alternative intervention to lock-down to break the “life-or-economy” trade-off, but also prevent the economy to be permanently damaged if there is reinfection.
COVID-19, Inequality, SIR-macro model, Testing
Hunt, Lester C
fe134f2d-ad0f-40d4-a667-f5e7774a422c
Zhang, Anqi
49383bb1-e789-4ce4-8361-3f8901e7b48a
Zhang, Shuonan
093a5840-cc2a-4306-9eff-522daca9a79f
June 2023
Hunt, Lester C
fe134f2d-ad0f-40d4-a667-f5e7774a422c
Zhang, Anqi
49383bb1-e789-4ce4-8361-3f8901e7b48a
Zhang, Shuonan
093a5840-cc2a-4306-9eff-522daca9a79f
Hunt, Lester C, Zhang, Anqi and Zhang, Shuonan
(2023)
Recession and recovery from the pandemic.
Research in Globalization, 6, [100117].
(doi:10.1016/j.resglo.2023.100117).
Abstract
We develop an SIR-macroeconomic model with virus detection and inequality to study their implications for economic and health consequences during a pandemic crisis. We find a two-way relationship between the pandemic recession and inequality that exacerbate each other although such a vicious circle could be broken by accurate and extensive testing. This mitigation effect can be improved given complementary arrangements such as social protection. The extensive virus detection could not only be a better alternative intervention to lock-down to break the “life-or-economy” trade-off, but also prevent the economy to be permanently damaged if there is reinfection.
Text
1-s2.0-S2590051X23000072-main
- Version of Record
More information
Accepted/In Press date: 10 February 2023
e-pub ahead of print date: 10 February 2023
Published date: June 2023
Additional Information:
Publisher Copyright:
© 2023
Keywords:
COVID-19, Inequality, SIR-macro model, Testing
Identifiers
Local EPrints ID: 475550
URI: http://eprints.soton.ac.uk/id/eprint/475550
ISSN: 2590-051X
PURE UUID: 91a0e847-4037-4844-84ea-7bb1855e4c8f
Catalogue record
Date deposited: 21 Mar 2023 17:42
Last modified: 17 Mar 2024 04:17
Export record
Altmetrics
Contributors
Author:
Lester C Hunt
Author:
Anqi Zhang
Author:
Shuonan Zhang
Download statistics
Downloads from ePrints over the past year. Other digital versions may also be available to download e.g. from the publisher's website.
View more statistics