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The Hubei lockdown and its global impacts via supply chains
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Zhang, Qianxue (2022) The Hubei lockdown and its global impacts via supply chains. Review of International Economics, 30 (4). pp. 1087-1109. doi:10.1111/roie.12595 ISSN 0965-7576.
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Official URL: https://doi.org/10.1111/roie.12595
Abstract
This article argues that the lockdown of Hubei province in China due to the Coronavirus outbreak provides a natural experiment to study the importance of China's role in global value chains. Since the lockdown started during the Lunar New Year, Hubei's migrant workers who went home could not return to workplaces in other provinces, resulting in a massive labor supply shock. I feed the supply shock through a Ricardian model with intermediate goods and sectoral linkages to study trade and welfare effects across several economies. While welfare in China is the most negatively affected, the shock also has sizeable negative implications for the US and the UK.
Item Type: | Journal Article | ||||||||
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Divisions: | Faculty of Social Sciences > Economics | ||||||||
Journal or Publication Title: | Review of International Economics | ||||||||
Publisher: | Wiley-Blackwell Publishing Ltd. | ||||||||
ISSN: | 0965-7576 | ||||||||
Official Date: | September 2022 | ||||||||
Dates: |
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Volume: | 30 | ||||||||
Number: | 4 | ||||||||
Page Range: | pp. 1087-1109 | ||||||||
DOI: | 10.1111/roie.12595 | ||||||||
Status: | Peer Reviewed | ||||||||
Publication Status: | Published | ||||||||
Access rights to Published version: | Open Access (Creative Commons) | ||||||||
Copyright Holders: | © 2022 The Author. Review of International Economics published by John Wiley & Sons Ltd. | ||||||||
Date of first compliant deposit: | 9 December 2021 | ||||||||
Date of first compliant Open Access: | 15 February 2022 | ||||||||
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