OECD Webinar — Understanding and addressing the social impact of COVID-19 through Open Data Infrastructure

LISS panel — Results and Experiences

Hans-Martin von Gaudecker

Universität Bonn & IZA

Gist of results

  • Labour market:
    • Small effects on extensive margin
    • Hours of work took deep dive, back up quickly
    • Early support programmes worked well
    • No rise in inequality
  • Mental well-being:
    • Strong reduction in mental health score in March
    • Back up to ≈normal levels by May
    • Very different for parents depending on who buffers shock

Based on two papers

  1. Gaudecker, H.-M. von, Holler, R., Janys, L., Siflinger, B. M., & Zimpelmann, C. (2020). Labour Supply during Lockdown and a “New Normal”: The Case of the Netherlands. IZA DP 13623.
  2. Siflinger, B., Paffenholz, M., Seitz, S., Mendel, M., Gaudecker, H.-M. von (2021). The CoViD-19 Pandemic and Mental Health: Distentangling Crucial Channels. CRC 224 DP 271.

LFP / Unemployment rates

Hours of work

  • Best short-term measure for labour market activity in presence of
    • firing restrictions
    • employment subsidies
  • Interpretation as labour demand / direct restrictions seems fine
    • e.g., see below that no add’l effect for parents
  • Measurement before CoViD-19 likely a bit too high

Hours worked / worked from home

Persistence

Non-Essential vs. Essential Work

Support Programmes

  • NOW: Labour subsidies scheme
    • Loss in firm revenue ≥ 20% ⟶ Reimbursement of 30% of wage bill
    • Cannot fire workers
    • No other strings attached
  • TOZO: Income support measure for self-employed
  • TOGS: One-time payment for entrepeneurs in directly affected sectors

Affected by support programme

Inequality

Hours worked / wfh by Gender

Hours worked by kids at home

Mental health

  • 5-item mental health inventory (MHI-5) — anxiety/depression
  • Questions referring to past 4 weeks, e.g. “I felt calm and peaceful”
  • 6 point scales, add up to indicator with scale
    • 100 “perfect” mental health
    • 0 worst possible outcome
  • Pre-clinical screening: Scores below 60 warrant further investigation
  • Focus on working age population

MHI-5, entire sample

MHI-5, shared add’l caregiving

MHI-5, respondent add’l caregiver

MHI-5, partner add’l caregiver

Takeaways

  • Shock to labour markets reasonably well buffered so far. Likely combination of
    • Firing restrictions
    • Generous STW scheme, support for small self-employed
    • Existing infrastructure for welfare payments
  • Work hours of women (relatively) well preserved
    • Consequence of highly subsidised daycare with comparably short hours?
    • Short school closures (≅2-3 months) very likely key
  • Mental health
    • Huge short-term drop initially in lockdown, quickly back
    • Drop largest in families where men took on initial burden
    • Large roles for infection risk, labour market risk, loneliness

Why LISS?

  • LISS: Online Panel in the Netherlands, running since 2007
    • Similar efforts: ALP, UAS, CentERpanel, GIP, GESIS Online Panel
  • Based on probability sample
  • Can follow-up in the long run
    • LISS background questionnaires
    • ≈85% of respondents can be linked to administrative microdata
  • Prior working relationship

Our efforts

  • Six waves of CoViD-19 surveys
  • Time use & consumption
    • April (only past 30 days)
    • November (as usual)
  • Funding: DFG via ECONtribute and CRC/TR 224, NWO, IZA, CPB, Tilburg U, CentERdata

Probability sample important (Example: Germany)

  • Adams-Prassl, Boneva, Golin, Rauh: Inequality in the Impact of the Coronavirus Shock: Evidence from Real Time Surveys, JPubE 2020:

    34% on short-time work in April 2020

  • SOEP-CoV-Study:

    17% on short-time work in April 2020

  • Invite access panel, stop at N=4,000 paid for, then weight to get “representativeness”?

  • Similar points for U.K. in Crossley, Fisher, Low: The Heterogeneous and Regressive Consequences of COVID-19: Evidence from High Quality Panel Data, JPubE 2020

Random thoughts

  • Country barrier still important – “monitoring”-style output only on hours of work together with CPB
  • Hard to get a sense of what is important in neighbouring country in real time
  • Long-run usability important
  • Speed: Some mechanism for short-term funds?
  • Real-time admin data possible?