The benefits of social division outweigh the economy: Research

Sharing is caring!


MONDAY, April 20, 2020 (HealthDay News) – The salvage benefits of strict social alienation rules in the coronavirus pandemic far outweigh their expected harm to the US economy , a new statement claims.

"Our cost benefit analysis shows that the extensive social dispersion measures being adopted in the United States may not constitute an overreact," said lead author Linda Thunstrom, assistant professor of economics. at Utah State University in Laramie said.

"Distance from society saves lives but has great costs for society due to declining economic activity," she said in a university press release. "However, based on our benchmark assumptions, the economic benefits of life are greatly saved far beyond the value of the expected losses to the US economy."

Assuming that socially dispersed measures were applied widely enough to significantly reduce contact between people, their benefits would exceed the economic cost of about $ 5.2 trillion, according to Thunstrom and colleagues.

The findings – were published online on April 14 in Benefit analysis journal – based on the most recent data on the spread of coronavirus and its impact on economic activity.

Study co-author Stephen Newbold said, "More detailed analysis is possible after more data is available." Newbold is an assistant professor of economics.

"But a quick review, based on the best information available, more …



Source

Leave a Comment