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Related Experiment Video

Updated: Oct 16, 2025

Setup of Consumer Wearable Devices for Exposure and Health Monitoring in Population Studies

Setup of Consumer Wearable Devices for Exposure and Health Monitoring in Population Studies

Published on: February 3, 2023

Lockdowns and the US Unemployment Crisis.

Christian Dreger¹, Daniel Gros²

¹European University, Viadrina Frankfurt, Oder, Germany.

Economics of Disasters and Climate Change

|October 18, 2021

Summary

Government social distancing mandates significantly impacted the US labor market during COVID-19. Unemployment rose sharply with stricter policies, showing a delayed and asymmetric effect, while pandemic severity played a minor role.

Keywords:

Corona pandemic Lockdown and unemployment Policy response

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Area of Science:

Economics
Public Health
Labor Market Analysis

Background:

The COVID-19 pandemic caused a global economic downturn.
Governments implemented social distancing measures to curb virus spread.
Labor market dynamics are crucial indicators of economic health.

Purpose of the Study:

To analyze the short-term effects of social distancing policies on the US labor market.
To quantify the relationship between policy stringency and unemployment rates.
To understand the timing and asymmetry of these impacts.

Main Methods:

Utilized a panel threshold model with high-frequency weekly unemployment data across US states.
Employed the Oxford Stringency Index to measure the restrictiveness of social distancing mandates.
Accounted for heteroscedasticity in the data.

Main Results:

Changes in social distancing mandates significantly affected unemployment.
The impact on unemployment exhibited a 2-4 week delay.
Policy tightening led to a quicker and larger increase in unemployment compared to relaxation.

Conclusions:

Social distancing measures were a primary driver of US labor market fluctuations during the pandemic.
The labor market response to policy changes was delayed and asymmetric.
Pandemic severity (infections, fatalities) had a limited impact on unemployment compared to policy interventions.