The First Weeks of the Coronavirus Crisis: Who Got Hit, When and Why? Evidence from Norway

Annette Alstadsæter, Bernt Bratsberg (bernt.bratsberg@frisch.uio.no), Gaute Eielsen, Wojciech Kopczuk, Simen Markussen, Oddbjørn Raaum and Knut Røed (knut.roed@frisch.uio.no)

No 27131, NBER Working Papers from National Bureau of Economic Research, Inc

Abstract: Using real-time register data we document the magnitude, dynamics and socio-economic characteristics of the crisis-induced temporary and permanent layoffs in Norway. We find evidence that the effects of social distancing measures quickly spread to industries that were not directly affected by policy. Close to 90% of layoffs are temporary, although this classification may change as the crisis progresses. Still, there is suggestive evidence of immediate stress on a subset of firms that manifests itself in permanent rather than temporary layoffs. We find that the shock had a strong socio-economic gradient, hit a financially vulnerable population, and parents with younger children, and was driven by layoffs in smaller, less productive, and financially weaker firms. Consequently though, the rise in unemployment likely overstates the loss of output associated with the layoffs by about a third.

JEL-codes: E24 J11 J4 J6 (search for similar items in EconPapers)
Date: 2020-05
New Economics Papers: this item is included in nep-lab, nep-mac and nep-ure
Note: EFG LS
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (48)

Downloads: (external link)
http://www.nber.org/papers/w27131.pdf (application/pdf)

Related works:
Working Paper: The first weeks of the coronavirus crisis: Who got hit, when and why? Evidence from Norway (2020)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:nbr:nberwo:27131

Ordering information: This working paper can be ordered from
http://www.nber.org/papers/w27131

Access Statistics for this paper

More papers in NBER Working Papers from National Bureau of Economic Research, Inc National Bureau of Economic Research, 1050 Massachusetts Avenue Cambridge, MA 02138, U.S.A.. Contact information at EDIRC.
Bibliographic data for series maintained by (wpc@nber.org).