Local lockdowns lead to job losses in neighboring areas, study finds.
Lockdowns during the COVID-19 pandemic not only directly impact local job markets but also affect neighboring areas through spillover effects. In the U.S., these spillovers alone caused 10-15% of job losses. Shops in areas with no local restrictions but with customers from locked-down areas also saw larger employment losses. Considering spillovers shows that lockdowns have bigger total effects but smaller direct impacts.