For the first time, Academician of Metrology used the DID method to analyze the impact of China's lockdown on the spread of the new crown virus!

For the first time, Academician of Metrology used the DID method to analyze the impact of China's lockdown on the spread of the new crown virus!

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For the first time, Academician of Metrology used the DID method to analyze the impact of China's lockdown on the spread of the new crown virus!

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About below the text content, author: Zeng Xuan, Wuhan University School of Economics and Management, Communication E-mail: [email protected]

For the first time, Academician of Metrology used the DID method to analyze the impact of China's lockdown on the spread of the new crown virus!
One of the authors of this article is Professor Fang Hanming (refer to 2 "Chinese Professors" newly elected as Fellows of the World Econometric Society). Professor Fang's main research fields are public economics and labor economics. He is one of the academic leaders in the field of applied microeconomics in American economics; he was once the co-editor of the Public Economics Journal and the International Economic Review, including the editorial board of the top economic journal, the American Economic Review.

He has a wide range of research interests and is good at combining theory with empirical research methods. His specific research topics include the theory and empirical methods of discrimination economics, the social security system includes theoretical and empirical research on the medical insurance market and the welfare system for the poor, life insurance market and social economics. His research results in the medical insurance market and the economics of discrimination are far-reaching.
The structure of the paper "Restrictions on Movement of People and the Spread of New Coronavirus: Empirical Research Based on Chinese Data"
is the total score, but we interpret it in the form of total score.
Introduction, data and conclusions The
new crown virus first appeared in Wuhan, Hubei Province in early December 2019 and spread rapidly from person to person. However, the authorities only publicly announced the human-to-human transmission of the new crown virus on January 20, 2020, and began to block Wuhan, a large city with more than 11 million people, starting at 10 o'clock on January 23, 2020.
Although a series of measures to restrict the movement of people, such as lockdown, can better prevent the further spread of the virus, its specific impact is difficult to estimate, because in addition to the lockdown effect, there are also panic effects, virus effects, and Spring Festival effects. In order to overcome this difficulty, this article uses nearly 3 million detailed, high-quality urban daily data provided by Baidu Migration, and uses the double-difference method to more accurately isolate the specific impacts of various effects. On this basis, a counterfactual was constructed, estimating the contribution of the Wuhan city closure measure to the specific reduction of the number of confirmed cases of the new crown virus in Wuhan and 16 non-Wuhan cities in Hubei Province.
For the first time, Academician of Metrology used the DID method to analyze the impact of China's lockdown on the spread of the new crown virus!
The impact of the lockdown of Wuhan on the movement of people.
We tried to quantify the causality of restricting the movement of people to prevent the spread of the new crown virus, but there are several mixtures: panic effect. Since Wuhan is the epicenter of the new crown virus, the number of people flowing into Wuhan will be greatly reduced, while outflow The number of people in Wuhan will increase significantly; the virus effect, due to the characteristics of human-to-human transmission of the new crown virus, people will deliberately avoid exposure to the virus during travel and public places; the Spring Festival effect, because the outbreak of the new crown virus coincides with the eve of the Chinese Lunar New Year, just in time When the population is moving in a large area.
For the first time, Academician of Metrology used the DID method to analyze the impact of China's lockdown on the spread of the new crown virus!

For the first time, Academician of Metrology used the DID method to analyze the impact of China's lockdown on the spread of the new crown virus!

We use equations 1 and 2 to estimate the inter-city and intra-city effects, and the explanation of the key variables in the model is shown in the figure below: The
For the first time, Academician of Metrology used the DID method to analyze the impact of China's lockdown on the spread of the new crown virus!
estimation results are shown in the following table :
For the first time, Academician of Metrology used the DID method to analyze the impact of China's lockdown on the spread of the new crown virus!

Panel A, B, and C in Table 2 are the results of the inflow and outflow of Wuhan population, and the population flow in Wuhan, respectively. Models 1, 2 and 3 are the comparison between Wuhan and 284 unclosed cities, and Wuhan in 2020. Comparison with 2019, and comparison between Wuhan and 7 other closed cities. In contrast, we prefer models 2 and 3, so we only explain the estimated parameters of models 2 and 3 (the shaded parts are the parameters that need to be paid attention to), and the explanation is as follows:
For the first time, Academician of Metrology used the DID method to analyze the impact of China's lockdown on the spread of the new crown virus!

For the first time, Academician of Metrology used the DID method to analyze the impact of China's lockdown on the spread of the new crown virus!

Because the equation is in log-level form, since we have also estimated the various parameters of the model, we only need to transform the model into the form of level-level influence to get the specific influence of each effect, as shown in the following table:
For the first time, Academician of Metrology used the DID method to analyze the impact of China's lockdown on the spread of the new crown virus!

From the table, we can see that the impact of the lockdown of Wuhan on the inflow and outflow of Wuhan population and the population flow in Wuhan is significant at the 1% level, and the specific effects are reduced by 76.64%, 56.35% and respectively. 54.45% of the population is mobile.
Quantify the impact of the lockdown on the spread of the new crown virus in the country.
In addition to the lockdown of Wuhan, 16 other cities in Hubei Province have also been locked down, so we want to construct the counterfactual of the unsealed city to compare with the reality of the lockdown. , In order to estimate the specific impact of the closure of the city on the spread of the new crown virus in the city. And because the incubation period of the new coronavirus is 22 days at the longest, we establish a dynamic equation that lags 22 periods:
For the first time, Academician of Metrology used the DID method to analyze the impact of China's lockdown on the spread of the new crown virus!

In order to construct a counterfactual world where Wuhan is not closed, we need to replace the first explanatory variable of Equation 3 with the daily flow of people in Wuhan, that is, replace the subscript i with WH. For the 16 cities in Hubei Province except Wuhan, this is also the case. The following picture shows the counterfactual world, A is Wuhan, B is the 16 cities in Hubei Province except Wuhan, the dotted line is the officially reported confirmed cases, the solid line is the counterfactual world, and the daily confirmed cases have sharp points. The reason is that the detection methods of nucleic acid reagents are replaced with the detection methods of clinical symptoms:
For the first time, Academician of Metrology used the DID method to analyze the impact of China's lockdown on the spread of the new crown virus!

In the figure, we can see that although the number of confirmed cases in the counterfactual world was indeed higher than the real world at the beginning of the lockdown, it will gradually converge to the real world data in the end. There may be three reasons for this: due to Wuhan 16 cities in Hubei province except Wuhan are the epicenters of the epidemic. The Health Commission was too late to test one by one due to the rapid increase in the number of people infected with the new crown virus in the initial period; because there is no time to test one by one, some patients may heal themselves or die; the government Officials have an incentive to conceal the number of infected people.
For the first time, Academician of Metrology used the DID method to analyze the impact of China's lockdown on the spread of the new crown virus!

The above picture shows the comparison between the 347 counterfactual worlds outside Hubei Province and the real world, as well as the comparison between the counterfactual world and the real world in 16 other cities in Hubei Province except Wuhan. The estimation methods and corresponding explanations are the same as the previous ones.
The impact of expanding social distancing on the spread of the virus
Although many cities have implemented a series of measures to restrict the movement of people, the methods are different: some cities are completely closed, some cities are partially closed, and some cities are tested. Point and quarantine area.
In order to study the impact of these measures in detail, we further split Equation 5 into Equation 6.
For the first time, Academician of Metrology used the DID method to analyze the impact of China's lockdown on the spread of the new crown virus!
The explanation of the parameters to be estimated in Equation 6 is as follows:
For the first time, Academician of Metrology used the DID method to analyze the impact of China's lockdown on the spread of the new crown virus!

The estimation results show that the estimation is statistically and economically significant, that is, these measures have effectively curbed the spread of the virus.
For the first time, Academician of Metrology used the DID method to analyze the impact of China's lockdown on the spread of the new crown virus!
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