ABSTRACT
US workers receive unemployment benefits if they lose their job, but not for reduced working hours. In alignment with the benefits incentives, we find that the labor market responded to COVID-19 and related closure-policies mostly on the extensive (12 pp outright job loss) margin. Exploiting timing variation in state closure-policies, difference-in-differences (DiD) estimates show, between March 12 and April 12, 2020, employment rate fell by 1.7 pp for every 10 extra days of state stay-at-home orders (SAH), with little effect on hours worked/earnings among those employed. Forty percentage of the unemployment was due to a nationwide shock, rest due to social-distancing policies, particularly among "non-essential” workers. © 2022 The Authors. Contemporary Economic Policy published by Wiley Periodicals LLC on behalf of Western Economic Association International.
ABSTRACT
Et spørgeskema udsendt til danske virksomheder under nedlukningen under den første bølge af coronavirus viser at hjælpepakkerne gik til de mest udsatte virksomheder og var med til at redde 81.000 jobs. (Danish) [ABSTRACT FROM AUTHOR] Copyright of Samfundsøkonomen is the property of Djøf Forlag and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)