Andrea Geraci (Lunch Seminar Economics) | Dipartimento di Scienze Economiche

Andrea Geraci (Lunch Seminar Economics)

11 novembre 2021 12:30 - 13:30
evento online
Andrea Geraci, European Commission Joint Research Centre
Seminari di dipartimento
Persona di riferimento: 
Sergio Galletta,
Strutture interne organizzatrici: 
Dipartimento di Scienze Economiche

Lunch Seminar Economics (LSE) - 2021/2022

Interviene: Andrea Geraci, European Commission Joint Research Centre

Link aula virtuale Teams (TBD)

Title: COVID-19 Relief Programs and Compliance with Confinement Measures

Authors: C. Deiana, A. Geraci,  G. Mazzarella, F. Sabatini

Abstract: We study the impact of a COVID-19 relief program on compliance with confinement measures in Italy, the early epicenter of the pandemic. We match information on the allocation of funds across Italian municipalities with data tracking citizens’ movements drawn from mobile devices and vehicles’ navigation systems, anonymized and aggregated at the municipality level. To assess the role of the program, we exploit a sharp kink schedule in the allocation of funds as a function of past income differentials that generated random treatment assignment in a neighborhood of the threshold point. We find robust evidence that, after the introduction of the program, mobility decreased with the amount of transfers. The impact is economically sizeable and resists bandwidth changes, with stronger effects holding in the proximity of the cut-off and the coefficient stabilizing with distance from the threshold. A battery of placebo tests supports the interpretation of results. Our evidence suggests that authorities could leverage targeted relief programs to nudge compliance with emergency measures at a relatively modest cost.