Résumés
Abstract
High-frequency economic data for small areas is often difficult to obtain in Canada and other countries. This paper overcomes this limitation by using monthly data derived from satellite night light images as a proxy for economic activity in Canadian Census Divisions. This proxy is used in conjunction with Facebook mobility data to estimate the effects of mobility declines due to COVID-19 on economic activity. I find robust evidence that reductions in movements are strongly negatively associated with declines in luminosity. Further analyses suggest that this effect is weaker in more densely populated areas, but stronger in Census Divisions with a higher concentration of retail businesses. My findings suggest that policies which reduce the need for in-person activities can mitigate the negative effects of COVID-related mobility reductions on economic activity. This paper also further highlights the value of using monthly satellite night lights data in economic analysis.
Parties annexes
Bibliography
- Allcott, H., Boxell, L., Conway, J., Gentzkow, M., Thaler, M. & Yang, D. (2020). Polarization and public health: Partisan differences in social distancing during the coronavirus pandemic. Journal of Public Economics, 191: 104254.
- Armstrong, D., Lebo, M. & Lucas, J. (2020). Do COVID-19 Policies Affect Mobility Behaviour? Evidence from 75 Canadian and American Cities. Canadian Public Policy, 46(S2): S127-S144.
- Baum-Snow, N. & Han, L. (2019). The microgeography of housing supply, Working Paper, University of Toronto.
- Beland, L-P., Brodeur, A., Mikola, D. & Wright, T. (2022). The Short-Term Economic Consequences of COVID-19: Occupation Tasks and Mental Health in Canada. Canadian Journal of Economics, 55(51): 214-247.
- Bellemare, M. & Wichman, C. (2020). Elasticities and the Inverse Hyperbolic Sine Transformation. Oxford Bulletin of Economics and Statistics, 82(1): 50-61.
- Beyer, R., Jain, T. & Sinha, S. (2020). Lights out? COVID-19 containment policies and economic activity. World Bank Policy Research Working Paper 9485.
- Beyer, R., Franco-Bedoya, S. & Galdo, V. (2021). Examining the economic impact of COVID-19 in India through daily electricity consumption and nighttime light intensity. World Development, 140: 105287.
- Beyer, R., Hu, Y. & Yao, J. (2022). Measuring Quarterly Economic Growth from Outer Space. World Bank Working Paper No. 9893.
- Brodeur, A., Grigoryeva, I. & Kattan, L. (2021). Stay-at-Home Orders, Social Distancing and Trust. Journal of Population Economics, 34(4): 1321-1354.
- Chan, J. (2020). The Geography of Social Distancing in Canada: Evidence from Facebook. Canadian Public Policy, 46(S1): S19-S28.
- Chor, D. & Li, B. (2021). Illuminating the Effects of the US-China Tariff War on China’s Economy, NBER Working Paper No. 29349.
- Civelli, A., Horowitz, A. & Teixeira, A. (2018). Foreign aid and growth: A Sp P-VAR analysis using satellite sub-national data for Uganda, Journal of Development Economics, 134: 50-67.
- Dow, A., Herdagdelen, A., Mohassel, P., Pompe, A. & State, B. (2020). Protecting privacy in Facebook mobility data during the COVID-19 response [blog post]. Retrieved from https://research.facebook.com/blog/2020/06/protecting-privacy-in-facebook-mobility-data-during-the-covid-19-response/
- Egorov, G., Enikolopov, R., Makarin, A. & Petrova, M. (2021). Divided we stay home: Social distancing and ethnic diversity, Journal of Public Economics, 194: 104328.
- Elvidge, C.D., Baugh, K.E., Zhizhin, M. & Hsu, F.C. (2013). Why VIIRS data are superior to DMSP for mapping nighttime lights, Asia-Pacific Advanced Network, 35: 62.
- Espitia, A., Mattoo, A., Rocha, N., Ruta, M. & Winkler, D. (2022). Pandemic trade: COVID-19, remote work and global value chains, The World Economy, 45(2): 561-589.
- Feir, D., Gillezeau, R. & Jones, M. (2018). Illuminating Indigenous Economic Development, University of Victoria Department Discussion Paper DDP1806.
- Henderson, J.V., Storeygard, A. & Weil, D. (2012). Measuring Economic Growth from Outer Space, American Economic Review, 102(2): 994-1028.
- Hsiang, S. (2010). Temperatures and cyclones strongly associated with economic production in the Caribbean and Central America, Proceedings of the National Academy of Sciences, 107(35): 15367-15372.
- Hu, Y. & Yao, J. (2022). Illuminating economic growth, Journal of Econometrics, 228(2): 359-378.
- Jones, S., Lange, F., Riddell, C. & Warman, C. (2020). Waiting for Recovery: The Canadian Labour Market in June 2020. Canadian Public Policy, 46(S2): S102-S118.
- Lee, Y. (2018). International isolation and regional inequality: Evidence from sanctions on North Korea, Journal of Urban Economics, 103: 34-51.
- Lemieux, T., Milligan, K., Schirle, T. & Skuterud, M. (2020). Initial Impacts of the COVID-19 Pandemic on the Canadian Labour Market, Canadian Public Policy, 46(S1): S55-S65.