Profits, Pandemics, and Lockdown Effectiveness in Nursing Home Networks

Arbeitspapier

How do pandemics affect for-profit and not-for-profit organizations differently? To address this question, we analyze optimal lockdowns in a two-sector continuous-time individual-based mean-field epidemiological model. We uncover a unique solution that depends on network structure, lockdown effectiveness, and the planner's tolerable infection incidence. Using unique data on nursing home networks in the United States, we calibrate the model and jointly quantify state-level lockdown effectiveness and preference for enforcing stringent containment strategies during the COVID-19 pandemic. We also empirically validate simulation results derived from the theoretical analyses. We find that for-profit nursing homes experience higher COVID-19 death rates than not-for-profit nursing homes. In addition, this differential health effect increases with lockdown effectiveness.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Series: GLO Discussion Paper ; No. 1131

Classification and Topics

• Classification: Wirtschaft ; Network Formation and Analysis: Theory ; Policy Objectives; Policy Designs and Consistency; Policy Coordination ; Crisis Management ; Health: Government Policy; Regulation; Public Health ; Economics of the Elderly; Economics of the Handicapped; Non-labor Market Discrimination
• Subject: Pandemics ; Profits ; Social networks ; Lockdown effectiveness ; Nursing Homes

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Pongou, Roland ; Sidie, Ghislain Junior ; Tchuente, Guy ; Tondji, Jean-Baptiste
• Event: Veröffentlichung
• (who): Global Labor Organization (GLO)
• (where): Essen
• (when): 2022

Further information

• Handle: http://hdl.handle.net/10419/261322
• Last update: 10.03.2025, 11:43 AM CET