EconPapers    
Economics at your fingertips  
 

Consumer behavior and food prices during the COVID‐19 pandemic: Evidence from Chinese cities

Bixuan Yang, Frank Asche () and Tao Li

Economic Inquiry, 2022, vol. 60, issue 3, 1437-1460

Abstract: We find that Chinese consumers responded strongly to government restrictions during the COVID‐19 crisis. Our event‐study framework shows that emergency declarations raised average food prices by as much as 7.8 standard deviations of the price change distribution, with a much larger effect on non‐perishable vegetable prices (e.g., 17.0 standard deviations for Chinese cabbage prices). The effects of lockdowns were smaller but longer‐lasting. These results suggest that consumers panic bought non‐perishables under emergency declarations while under lockdowns there was a sustained increase in demand for non‐perishables. Such consumer behavior likely caused sizable losses in consumer welfare, especially among poor households.

Date: 2022
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed

Downloads: (external link)
https://doi.org/10.1111/ecin.13067

Related works:
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:bla:ecinqu:v:60:y:2022:i:3:p:1437-1460

Ordering information: This journal article can be ordered from
http://www.blackwell ... bs.asp?ref=0095-2583

Access Statistics for this article

Economic Inquiry is currently edited by Preston McAfee

More articles in Economic Inquiry from Western Economic Association International Contact information at EDIRC.
Bibliographic data for series maintained by Wiley Content Delivery ().

 
Page updated 2022-08-23
Handle: RePEc:bla:ecinqu:v:60:y:2022:i:3:p:1437-1460