Influenza and labour investment efficiency

Zhongtian Li and Jing Jia

Applied Economics Letters, 2024, vol. 31, issue 1, 17-23

Abstract: This study investigates the relationship between the spread of influenza and labour investment efficiency using a sample of United States (US) firms from 2004–2019. The spread of influenza is found to be positively associated with an inefficient investment in labour. Further analyses show that the impact of the spread of influenza on labour investment inefficiency is less pronounced for firms in states mandating paid sick leave, for firms operating in the industries where a higher share of jobs can be done at home, and for firms in the industries where there is a lower level of interpersonal contact. Given the raising awareness of public health and firm outcomes, our findings should be of great interest to investors, directors, managers, and public policymakers.

Date: 2024
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DOI: 10.1080/13504851.2022.2120956

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