Health externalities and policy: The role of social preferences

Arbeitspapier

Social preferences facilitate the internalization of health externalities, for example by reducing mobility during a pandemic. We test this hypothesis using mobility data from 258 cities worldwide alongside experimentally validated measures of social preferences. Controlling for time-varying heterogeneity that could arise at the level at which mitigation policies are implemented, we find that they matter less in regions that are more altruistic, patient, or exhibit less negative reciprocity. In those regions, mobility falls ahead of lockdowns, and remains low after the lifting thereof. Our results elucidate the importance, independent of the cultural context, of social preferences in fostering cooperative behavior.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Series: ECONtribute Discussion Paper ; No. 109

Classification and Topics

• Classification: Wirtschaft ; Microeconomic Behavior: Underlying Principles ; Externalities ; Altruism; Philanthropy; Intergenerational Transfers ; Micro-Based Behavioral Economics: Role and Effects of Psychological, Emotional, Social, and Cognitive Factors on Decision Making‡ ; Health: General ; Health: Government Policy; Regulation; Public Health
• Subject: social preferences ; pandemics ; mobility ; health externalities ; mitigation policies

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Alfaro, Laura ; Faia, Ester ; Lamersdorf, Nora ; Saidi, Farzad
• Event: Veröffentlichung
• (who): University of Bonn and University of Cologne, Reinhard Selten Institute (RSI)
• (where): Bonn and Cologne
• (when): 2021

Further information

• Handle: http://hdl.handle.net/10419/244343
• Last update: 10.03.2025, 11:42 AM CET