COVID-19 and the Forces Behind Social Unrest

28 Pages Posted: 10 Feb 2022

See all articles by Mario Lackner

Mario Lackner

Johannes Kepler University Linz

Uwe Sunde

Ludwig Maximilian University of Munich (LMU) - Faculty of Economics

Rudolf Winter-Ebmer

Johannes Kepler University Linz - Department of Economics; Institute for Advanced Studies (IHS) - Department of Economics & Finance; Centre for Economic Policy Research (CEPR); IZA Institute of Labor Economics

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Date Written: November 2021

Abstract

The unprecedented consequences of the Covid-19 pandemic have raised concerns about intensified social unrest, but evidence for such a link and the underlying channels is still lacking. We use a unique combination of nationally representative survey data, event data on social unrest, and data on Covid-19 fatalities and unemployment at a weekly resolution to investigate the forces behind social unrest in the context of the strains on public health and the economy due to the pandemic in the USA. The results show that pandemic-related unemployment and Covid-19 fatalities intensified negative emotional stress and led to a deterioration of economic confidence among individuals. The prevalence of negative emotional stress, particularly in economically strained and politically polarized environments, was, in turn, associated with intensified social unrest as measured by political protests. No such link is found for economic perceptions.

Keywords: civil unrest, COVID-19, economic shocks, Political Polarization

Suggested Citation

Lackner, Mario and Sunde, Uwe and Winter-Ebmer, Rudolf, COVID-19 and the Forces Behind Social Unrest (November 2021). CEPR Discussion Paper No. DP16756, Available at SSRN: https://ssrn.com/abstract=4026599

Mario Lackner (Contact Author)

Johannes Kepler University Linz ( email )

Altenbergerstr. 69
A-4040 Linz, Uper Austria 4040
Austria

Uwe Sunde

Ludwig Maximilian University of Munich (LMU) - Faculty of Economics ( email )

Ludwigstrasse 28
Munich, D-80539
Germany

Rudolf Winter-Ebmer

Johannes Kepler University Linz - Department of Economics ( email )

Altenbergerstrasse 69
A-4040 Linz, 4040
Austria
+43 732 2468 8236 (Phone)
+43 732 2468 8238 (Fax)

HOME PAGE: http://www.econ.jku.at/winter

Institute for Advanced Studies (IHS) - Department of Economics & Finance ( email )

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A-1060 Vienna, A-1060
Austria

HOME PAGE: http://www.ihs.ac.at

Centre for Economic Policy Research (CEPR)

London
United Kingdom

IZA Institute of Labor Economics

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Bonn, D-53072
Germany

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