Asymmetric information flow to G7 and Nordic equities markets during COVID-19 pandemic

PurposeThis paper investigates the probable differential impact of the confirmed cases of COVID-19 on the equities markets of G7 and Nordic countries to ascertain possible interdependencies, diversification and safe haven prospects in the era of the COVID-19 pandemic over the short-, intermediate- and long-term horizons.Design/methodology/approachThe authors apply a unique methodology in a denoised frequency-domain entropy paradigm to the selected equities markets (Li et al. 2020).FindingsThe authors' findings reinforce the operability of the entrenched market dynamics in the COVID-19 pandemic era. The authors divulge that different approaches to fighting the pandemic do not necessarily drive a change in the deep-rooted fundamentals of the equities market, specifically for the studied markets. Except for an extreme case nearing the end (start) of the short-term (intermediate-term) between Iceland and either Denmark or the US equities, there exists no potential for diversification across the studied markets, which could be ascribed to the degree of integration between these markets.Practical implicationsThe authors' findings suggest that politicians should pay closer attention to stock market fluctuations as well as the count of confirmed COVID-19 cases in their respective countries since these could cause changes to market dynamics in the short-term through investor sentiments.Originality/valueThe authors measure the flow of information from COVID-19 to G7 and Nordic equities using the entropy methodology induced by the Improved Complete Ensemble Empirical Mode Decomposition with Adaptive Noise (ICEEMDAN), which is a data-driven technique. The authors employ a larger sample period as a result of this, which is required to better comprehend the subtleties of investor behaviour within and among economies - G7 and Nordic geographical blocs - which largely employed different approaches to fighting the COVID-19 pandemic. The authors' focus is on diverging time horizons, and the ICEEMDAN-based entropy would enable us to measure the amount of information conveyed to account for large tails in these nations' equity returns. Furthermore, the authors use a unique type of entropy known as Renyi entropy, which uses suitable weights to discern tailed distributions. The Shannon entropy does not account for the fact that financial assets have fat tails. In a pandemic like COVID-19, these fat tails are very strong, and they must be accounted for.

The Benefits and Costs of Using Social Distancing to Flatten the Curve for COVID-19

We examine the net benefits of social distancing to slow the spread of COVID-19 in USA. Social distancing saves lives but imposes large costs on society due to reduced economic activity. We use epidemiological and economic forecasting to perform a rapid benefit–cost analysis of controlling the COVID-19 outbreak. Assuming that social distancing measures can substantially reduce contacts among individuals, we find net benefits of about $5.2 trillion in our benchmark case. We examine the magnitude of the critical parameters that might imply negative net benefits, including the value of statistical life and the discount rate. A key unknown factor is the speed of economic recovery with and without social distancing measures in place. A series of robustness checks also highlight the key role of the value of mortality risk reductions and discounting in the analysis and point to a need for effective economic stimulus when the outbreak has passed.

Influence of health-conscious consumer behaviour on consumer ethnocentrism during the COVID-19 pandemic

The aim of the article is fourfold: (1) to identify the level of health consciousness during the pandemic in Slovakia and Croatia, and to point out the possible influence of selected demographic factors on this rate, (2) to identify the degree of consumer ethnocentrism during the pandemic in Slovakia and Croatia and to examine the impact of selected demographic factors to this extent, (3) to examine the link between health consciousness as a factor affecting consumer ethnocentrism and (4) to identify differences in the studied variables of Croatia and Slovakia. The article is supported by a primary survey based on 459 respondents in Croatia and 429 respondents in Slovakia. Whilst referring to our aims, we formulated research questions and hypotheses, in order to answer and verify them we chose ANOVA test and regression analysis. The results point to a high level of respondents' health awareness and an average (in the case of Slovakia) and above-average (in the case of Croatia) rate of consumer ethnocentrism. The results indicate a low relationship between the variables examined. Results can be applied both in theory and in practice in various fields. © 2022 The Author(s). Published by Informa UK Limited, trading as Taylor & Francis Group.

Inclusive policies for health financing towards universal health coverage in Pakistan: direct or indirect taxes

PurposeThe unresolved crisis scenario and a prolonged COVID-19 pandemic increased social inequalities, mainly affecting the most vulnerable groups to access health services. The data in Pakistan show that health coverage benefits less than half of the population and a weak health system forces households to finance their health with out-of-pocket expenses. Therefore, it is a pending task to guarantee universal health coverage and design sustainable and inclusive policies to finance and provide health services. This study aims to offer a unique solution for health financing to Pakistan.Design/methodology/approachThis study uses the VECM model by employing the data from Pakistan to indicate sustainable policies for health financing.FindingsThe results of this research show that direct taxes have a positive impact on public health expenditure;on the contrary, indirect taxes have a negative impact;it also confirms the importance of considering the direct tax based on high-income quintiles to guarantee equality and Access to health for all that contributes to human development.Practical implicationsThis article leads to the design of a new health system that will be useful for improving the health of Pakistan by presenting a solution to enhance health financing. Meanwhile, Pakistan will experience better conditions in the face of health crises.Social implicationsImproving health financing through the equality approach can provide public access to the health system and strengthen the positive effects of the health system on socio-economic relations.Originality/valueThis paper provides a unique solution for the ministry of health of Pakistan, International organisations and national authorities to reach a high level of health coverage without any cost to the financial system and increase the cost of living of the Pakistani people.

The economics of COVID-19: a systematic literature review

Purpose A systematic, PRISMA-guided literature review was conducted using four databases (ProQuest, PubMed, EconLit and Scopus) to analyze research published between February 2020 and August 2021. This review included 31 studies out of 1,248 that were identified. Design/methodology/approach In addition to the serious health issues it causes, severe acute respiratory syndrome coronavirus 2 (COVID-19) has a destructive impact on the global economy. The objectives of this study are (1) to examine the growing literature on variations of economic factors due to COVID-19 (2) to review the literature on the governmental response to the pandemic and (3) to discover the perspective and the gaps and outline the future avenues for further research. Findings All selected studies (31) have used the macroeconomic, household and health economic factors to analyze the economic impacts of the COVID-19 pandemic. Among these studies, 22 articles examined the economic consequences and macroeconomic activities, 7 analyzed microeconomic costs and healthcare trade-offs and 2 studies reviewed economic uncertainty and macroeconomic expectations. Research limitations/implications This study comprises the most relevant research articles to measure the economic consequences of COVID-19. As a result of the lockdown and other containment initiatives, price levels, employment and consumption patterns have all suffered. Practical implications Therefore, the government's requirement to develop policy tools and approaches to ensure a full recovery from the pandemic should lead to greater long-term economic resilience. Originality/value This study examines the economic implications of COVID-19, with the aim of not only analysing COVID-19's negative economic effects but also, those measures that provide new directions in the form of short-run economic impacts and policy decisions.

A Macro-Theoretic Exploration of Some Covid-19 Induced Constraints on Economic Policy

The Covid-19 pandemic has spawned a crisis whose dimensions encompass the domains of health and the economy. The latter is on account of the use of non-pharmaceutical interventions such as lockdowns in order to deal with a highly contagious disease. Though some vaccines have emerged, lockdowns of varying degrees are still required since geographical coverage of vaccines is uneven, the protection afforded by vaccines is only for a finite period of time and new variants may escape existing vaccines. This provides the context within which economic policy could intervene. Monetary policy is either unavailable or ineffective, especially when the neoliberal project is hegemonic. Therefore, the specific policy instrument that tends to be utilised is fiscal policy wherein it is postulated that the government tries to achieve a target degree of capacity utilisation. It is demonstrated within the framework of a heterodox macroeconomic model that considerations involving macroeconomic stability (and political economy more generally) may cause this target to be below what is warranted by public health requirements. The paper concludes with some suggestions for future work in this research direction. [ FROM AUTHOR] Copyright of Review of Political Economy is the property of Routledge 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 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 . (Copyright applies to all s.)

Clinical and economic benefits of lenzilumab plus standard of care compared with standard of care alone for the treatment of hospitalized patients with COVID-19 in the United States from the hospital perspective.

AIMS: Estimate the clinical and economic benefits of lenzilumab plus standard of care (SOC) compared with SOC alone in the treatment of patients hospitalized with COVID-19 pneumonia from the United States (US) hospital perspective. MATERIALS AND METHODS: A per-patient cost calculator was developed to report the clinical and economic benefits associated with adding lenzilumab to SOC in newly hospitalized COVID-19 patients over 28 days. Clinical inputs were based on the LIVE-AIR trial, including failure to achieve survival without ventilation (SWOV), mortality, time to recovery, intensive care unit (ICU) admission, and invasive mechanical ventilation (IMV) use. Base case costs included the anticipated list price of lenzilumab, drug administration, and hospital resource costs based on the level of care required. A scenario analysis examined projected one-year rehospitalization costs. RESULTS: In the base case and all scenarios, lenzilumab plus SOC improved all specified clinical outcomes relative to SOC alone. Lenzilumab plus SOC resulted in estimated cost savings of $3,190 per patient in a population aged <85 years with C-reactive protein (CRP) levels <150 mg/L and receiving remdesivir (base case). Per-patient cost savings were observed in the following scenarios: (1) aged <85 years with CRP <150 mg/L, with or without remdesivir ($1,858); (2) Black and African American patients with CRP <150 mg/L ($13,154); and (3) Black and African American patients from the full population, regardless of CRP level ($2,763). In the full modified intent-to-treat population, an additional cost of $4,952 per patient was estimated. When adding rehospitalization costs to the index hospitalization, a total per-patient cost savings of $5,154 was estimated. CONCLUSIONS: The results highlight the clinical benefits for SWOV, ventilator use, time to recovery, mortality, time in ICU, and time on IMV, in addition to an economic benefit from the US hospital perspective associated with adding lenzilumab to SOC for COVID-19 patients.

[Economic Implications of the Corona Crisis and Economic Policy Measures]. / Wirtschaftliche Implikationen der Corona-Krise und wirtschaftspolitische Maßnahmen.

The corona crisis started in China and had great consequences for public health and the economy. In the meantime, high and rapidly growing numbers of cases of infections with SARS-CoV-2 have also been recorded in Japan, Korea, Italy, Germany, Great Britain, France, Spain and above all in the USA. Forecasts of economic growth have been massively revised downwards and governments around the world are struggling to find the right economic policy response. This article describes basic short-term options for the German government to react to the corona shock and briefl y assesses the package of measures "Schutzschirm für Beschäftigte und Unternehmen" presented on 13 March 2020 by the German Finance Minister Olaf Scholz and the German Economics Minister Peter Altmaier.

[An Economic Policy Exit Strategy from the Corona Lockdown]. / Überlegungen zur Lockerung des Lockdowns.

The fight against the coronavirus pandemic has led to an insulation of social and economic life and will have considerable economic consequences. Important areas of the industry and service sectors were partially or completely shutdown. A resumption of activity should happen as soon as possible, once the medical pre-conditions have been established and are met. This requires a clear exit strategy and following several steps to return to previous welfare and growth data levels. After securing survival during this crisis via various liquidity lines and bridging loans, the economy's restart requires the relaunch of public infrastructure, especially of schools and kindergartens. To facilitate a coordinated and synchronised restart of complex industrial value chains, we need clear signals on a planned schedule. A tax policy driven departure signal and a demand side focused growth programme could make an important contribution to a new economic dynamic after the crisis.