Self-restraint behavior under COVID-19 through stigma: Theory and evidence based on mobility data

Katafuchi, Yuya and Kurita, Kenichi and Managi, Shunsuke (2020): Self-restraint behavior under COVID-19 through stigma: Theory and evidence based on mobility data.

Abstract

This study conducts both theoretical and empirical analyses of how the non-legally-binding policies originating from COVID-19 affect people's going-out behavior. The theoretical analysis assumes that under a declared state of emergency, the individual going out suffers psychological costs arising from both the risk of infection and the stigma of going out. Thus, a hypothesis is derived that under a declared state of emergency, going out entails a strong psychological cost, and thus people refrain from going out. In the empirical analysis, this study estimates the model using a set of panel data from regional mobility data and from emergency declarations at the prefectural level to analyze self-restraint behavior under a non-legally binding emergency declaration. The results reveal that, compared with the pre-declaration of the state of emergency, going-out behavior under and after lifting of the state of emergency was suppressed even when the going-out behavior did not result in penalties, which is consistent with the theoretical analysis.

• Item Type: MPRA Paper
• Language: English
• Keywords: COVID-19, Stigma, Self-restraint behavior, Non-legally binding policy, Regional mobility
• Subjects: D - Microeconomics > D9 - Intertemporal Choice > D91 - Intertemporal Household Choice ; Life Cycle Models and Saving; I - Health, Education, and Welfare > I1 - Health > I12 - Health Behavior; I - Health, Education, and Welfare > I1 - Health > I18 - Government Policy ; Regulation ; Public Health

References

Acemoglu, D., V. Chernozhukov, I. Werning, and M. D. Whinston (2020): “A multi-risk SIR model with optimally targeted lockdown,” NBER Working Paper, URL: https: //www.nber.org/papers/w27102, (Accessed on July 11, 2020).

Alvarez, F. E., D. Argente, and F. Lippi (2020): “A simple planning problem for covid-19 lockdown,” NBER Working Paper, URL: https://www.nber.org/papers/w26981, (Accessed on July 11, 2020).

Aum, S., S. Y. T. Lee, and Y. Shin (2020): “Inequality of fear and self-quarantine: Is there a trade-off between GDP and public health?” NBER Working Paper, URL: https: //www.nber.org/papers/w27100, (Accessed on July 11, 2020).

Baltagi, B. H. (1984): “A Monte Carlo Study for Pooling Time Series of Cross-Section Data in the Simultaneous Equations Model,” International Economic Review, 25, 603–624.

Besley, T. and S. Coate (1992): “Understanding welfare stigma: Taxpayer resentment and statistical discrimination,” Journal of Public Economics, 48, 165–183.

Bhargava, S. and D. Manoli (2015): “Psychological Frictions and the Incomplete Take-Up of Social Benefits: Evidence from an IRS Field Experiment,” American Economic Review, 105, 3489–3529.

Eichenbaum, M. S., S. Rebelo, and M. Trabandt (2020): “The Macroeconomics of Testing and Quarantining,” NBER Working Paper, URL: https://www.nber.org/papers/w27104, (Accessed on July 11, 2020).

Farboodi, M., G. Jarosch, and R. Shimer (2020): “Internal and external effects of social distancing in a pandemic,” NBER Working Paper, URL: https://www.nber.org/papers/w27059, (Accessed on July 11, 2020).

Gharehgozli, O., P. Nayebvali, A. Gharehgozli, and Z. Zamanian (2020): “Impact of COVID-19 on the Economic Output of the US Outbreak’s Epicenter,” Economics of Disasters and Climate Change.

Goffman, E. (1963): Stigma: Notes on the Management of Spoiled Identity, Prentice-Hall.

Holtemöller, O. (2020): “Integrated assessment of epidemic and economic dynamics,” IWH Discussion Papers, URL: https://www.econstor.eu/bitstream/10419/215895/1/1694465632.pdf, (Accessed on July 11, 2020).

Itaya, J. and K. Kurita (2020): “Replicator evolution of welfare stigma: Welfare fraud vs incomplete take-up,” Mimeo.

Iwasaki, A. and N. D. Grubaugh (2020): “Why does Japan have so few cases of COVID-19?” EMBO Molecular Medicine, 12, e12481.

Katafuchi, Y. (2020): “covid-19 emergency statement japan,” URL: https://github.com/yuya-katafuchi/covid-19_emergency_statement_japan (Accessed on July 11,2020).

Kawaguchi, K., N. Kodama, and M. Tanaka (2020): “Small Business under the COVID-19 Crisis: Expected Short-and Medium-Run Effects of Anti-Contagion and Economic Policies,” Available at SSRN 3634544.

Kim, Y. (2003): “Income distribution and equilibrium multiplicity in a stigma-based model of tax evasion,” Journal of Public Economics, 87, 1591–1616.

Kobayashi, G., S. Sugasawa, H. Tamae, and T. Ozu (2020): “Predicting intervention effect for COVID-19 in Japan: state space modeling approach,” BioScience Trends.

Kurita, K., Y. Katafuchi, and N. Hori (2020): “Stigma model of welfare fraud and non-take-up: Theory and evidence from OECD panel data,” MPRA Paper, URL: https://mpra.ub.uni-muenchen.de/100021/, (Accessed on July 11, 2020).

Kyodo News (2020): “Morning crowds down 60% in central Tokyo after emergency declared,” URL: https://english.kyodonews.net/news/2020/04/4394741a8810-morning-crowds-down-60-in-central-tokyo-after-emergency-declared.html (Accessed on July 11, 2020).

Lindbeck, A., S. Nyberg, and J. W. Weibull (1999): “Social norms and economic incentives in the welfare state,” The Quarterly Journal of Economics, 114, 1–35.

Lindbeck, A., S. Nyberg, and J. W. Weibull (2003): “Social norms and welfare state dynamics,” Journal of the European Economic Association, 1, 533–542.

Lu, N., K.-W. Cheng, N. Qamar, K.-C. Huang, and J. A. Johnson (2020): “Weathering COVID-19 storm: successful control measures of five Asian countries,” American Journal of Infection Control, 48, 851–852.

Major, B., J. F. Dovidio, and B. G. Link (2018): The Oxford handbook of stigma, discrimination, and health, Oxford University Press.

Mandel, A. and V. Veetil (2020): “The Economic Cost of COVID Lockdowns: An Out-of-Equilibrium Analysis,” Economics of Disasters and Climate Change.

Martin, A., M. Markhvida, S. Hallegatte, and B. Walsh (2020): “Socio-Economic Impacts of COVID-19 on Household Consumption and Poverty,” Economics of Disasters and Climate Change.

Moffitt, R. (1983): “An economic model of welfare stigma,” American economic review, 73, 1023–1035.

Nakamura, H. and S. Managi (2020): “Airport risk of importation and exportation of the COVID-19 pandemic,” Transport Policy, 96, 40 – 47.

Qian, K. and T. Yahara (2020): “Mentality and behavior in COVID-19 emergency status in Japan: Influence of personality, morality and ideology,” PloS one, 15, e0235883.

Rasmusen, E. (1996): “Stigma and self-fulfilling expectations of criminality,” The Journal of Law and Economics, 39, 519–543.

The Japan Times (2020a): “Japan cautiously lifts last of virus emergency controls,” URL: https://www.japantimes.co.jp/news/2020/05/25/national/japan-lifts-state-of-emergency-coronavirus/ (Accessed on July 11, 2020).

The Japan Times (2020b): “Japan’s ‘virus vigilantes’ take on rule-breakers and invaders,” URL: https://www.japantimes.co.jp/news/2020/05/13/national/coronavirus-vigilantes-japan/ (Accessed on July 11, 2020).

The Japan Times (2020c): “Understanding the need to shame someone on social media for not exercising self-restraint during a pandemic,” URL: https://www.japantimes.co.jp/news/2020/05/16/national/media-national/social-media-shaming-coronavirus/ (Accessed on July 11, 2020).

TOYO KEIZAI ONLINE (2020): “Coronavirus Disease (COVID-19) Situation Report in Japan,” URL: https://github.com/kaz-ogiwara/covid19/blob/master/README.en.md (Accessed on July 11, 2020).

WHO (2020): “Coronavirus disease 2019 (COVID-19): situation report, 172,” URL: https://www.who.int/docs/default-source/coronaviruse/situation-reports/20200710-covid-19-sitrep-172.pdf?sfvrsn=70724b90_2 (Accessed on July 11, 2020).

Yamamoto, T., C. Uchiumi, N. Suzuki, J. Yoshimoto, and E. Murillo-Rodriguez (2020): “The psychological impact of ’mild lockdown’ in Japan during the COVID-19 pandemic: a nationwide survey under a declared state of emergency,” medRxiv.

Yamamura, E. and Y. Tsutsui (2020): “Impact of the State of Emergency Declaration for COVID-19 on Preventive Behaviors and Mental Conditions in Japan: Difference in Difference Analysis using Panel Data,” arXiv preprint arXiv:2005.13008.

Yoo, S. and S. Managi (2020): “Global Mortality Benefits of COVID-19 Action,” Technological Forecasting and Social Change, 120231.