Impacts of Social and Economic Factors on the Transmission of Coronavirus Disease 2019 (Covid-19) in China

47 Pages Posted: 27 Apr 2020 Last revised: 6 May 2025

See all articles by Yun Qiu

Yun Qiu

Institute for Economic and Social Research, Jinan University

Xi Chen

Yale School of Public Health - Department of Health Policy and Management; Yale University - Department of Economics; Yale University - Yale Institution for Social and Policy Studies; National Bureau of Economic Research (NBER); IZA Institute of Labor Economics; World Bank; UNU-WIDER

Wei Shi

Jinan University

Abstract

This paper models the local and cross-city transmissions of the novel coronavirus in China between January 19 and February 29 in 2020. We examine the role of various socioeconomic mediating factors, including public health measures that encourage social distancing in local communities. Weather characteristics two weeks ago are used as instrumental variables for causal inference. Stringent quarantine, city lockdown, and local public health measures imposed since late January significantly decreased the virus transmission rate.The virus spread was contained by the middle of February. Population outflow from the outbreak source region posed a higher risk to the destination regions than other factors including geographic proximity and similarity in economic conditions. We quantify the effects of different public health measures in reducing the number of infections through counterfactual analyses. Over 1.4 million infections and 56,000 deaths could have been avoided as a result of the national and provincial public health measures imposed in late January in China.

Keywords: transmission, 2019 novel coronavirus, quarantine, COVID-19

JEL Classification: I18, I12, C23

Suggested Citation

Qiu, Yun and Chen, Xi and Shi, Wei, Impacts of Social and Economic Factors on the Transmission of Coronavirus Disease 2019 (Covid-19) in China. IZA Discussion Paper No. 13165, Available at SSRN: https://ssrn.com/abstract=3584928

Yun Qiu (Contact Author)

Institute for Economic and Social Research, Jinan University ( email )

601 West Whampoa Road
Tianhe District
Guangzhou, 510632
China

Xi Chen

Yale School of Public Health - Department of Health Policy and Management ( email )

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Yale University - Department of Economics ( email )

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Yale University - Yale Institution for Social and Policy Studies ( email )

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HOME PAGE: http://isps.yale.edu/team/xi-chen

National Bureau of Economic Research (NBER) ( email )

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IZA Institute of Labor Economics ( email )

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World Bank ( email )

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UNU-WIDER ( email )

Finland

Wei Shi

Jinan University

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