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Globalization and outbreak of COVID-19: An empirical analysis

Author

Listed:
  • Mohammad Reza Farzanegan

    (Philipps-University Marburg)

  • Mehdi Feizi

    (Ferdowsi University of Mashhad)

  • Hassan F. Gholipour

    (Swinburne University of Technology)

Abstract
The purpose of this study is to examine the relationship between globalization, Coronavirus Disease 2019 (COVID-19) cases, and associated deaths in more than 100 countries. Our ordinary least squares multivariate regressions show that countries with higher levels of socio-economic globalization are exposed more to COVID-19 outbreak. Nevertheless, globalization cannot explain cross-country differences in COVID-19 confirmed deaths. The fatalities of coronavirus are mostly explained by cross-country variation in health infrastructures (e.g., share of out of pocket spending on health per capita and the number of hospital beds) and demographic structure (e.g., share of population beyond 65 years old in total population) of countries. Our least squares results are robust to controlling outliers and regional dummies. This finding provides the first empirical insight on the robust determinants of COVID-19 outbreak and its human costs across countries.

Suggested Citation

  • Mohammad Reza Farzanegan & Mehdi Feizi & Hassan F. Gholipour, 2020. "Globalization and outbreak of COVID-19: An empirical analysis," MAGKS Papers on Economics 202018, Philipps-Universität Marburg, Faculty of Business Administration and Economics, Department of Economics (Volkswirtschaftliche Abteilung).
    • Handle: RePEc:mar:magkse:202018
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    References listed on IDEAS

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    Blog mentions

    As found by EconAcademics.org, the blog aggregator for Economics research:
    1. 42. Selected Data of Coronavirus in Spain, United States, Europe, America and other areas, year 2020: Statistics of Cases and Hospital beds
      by MCG Blogs de Economía in Euro-American Association: World Development on 2020-05-12 09:25:00

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    Cited by:

    1. hafeez, neelam & naseem naik, sadia, 2023. "Economic Consequences of the COVID-19 Eruption: A Study of Selected South Asian Countries," MPRA Paper 117319, University Library of Munich, Germany.
    2. Mohammad Reza Farzanegan, 2020. "Ageing Society and SARS-CoV-2 Mortality: Does the Healthcare Absorptive Capacity Matter?," JRFM, MDPI, vol. 13(11), pages 1-13, November.
    3. Constantin Anghelache & Mădălina-Gabriela Anghel & Ștefan Virgil Iacob & Mirela Panait & Irina Gabriela Rădulescu & Alina Gabriela Brezoi & Adrian Miron, 2022. "The Effects of Health Crisis on Economic Growth, Health and Movement of Population," Sustainability, MDPI, vol. 14(8), pages 1-22, April.
    4. Algae K. Y. Au & Jacky C. K. Ng & Wesley C. H. Wu & Sylvia Xiaohua Chen, 2023. "Who do we trust and how do we cope with COVID-19? A mixed-methods sequential exploratory approach to understanding supportive messages across 35 cultures," Palgrave Communications, Palgrave Macmillan, vol. 10(1), pages 1-14, December.
    5. Fabio Giudice & Rocco Caferra & Piergiuseppe Morone, 2020. "COVID-19, the Food System and the Circular Economy: Challenges and Opportunities," Sustainability, MDPI, vol. 12(19), pages 1-15, September.
    6. Syed Abul Basher & A. K. Enamul Haque, 2021. "Public policy lessons from the Covid-19 outbreak: How to deal with it in the post-pandemic world?," Journal of Social and Economic Development, Springer;Institute for Social and Economic Change, vol. 23(2), pages 234-247, September.
    7. Michael Bayerlein & Vanessa A. Boese & Scott Gates & Katrin Kamin & Syed Mansoob Murshed, 2021. "Populism and COVID-19: How Populist Governments (Mis)Handle the Pandemic," Journal of Political Institutions and Political Economy, now publishers, vol. 2(3), pages 389-428, December.
    8. Peter A.G. van Bergeijk, 2021. "Pandemic Economics," Books, Edward Elgar Publishing, number 20401.
    9. Orhan Cengiz & Müge Manga, 2022. "Impact of COVID-19 pandemic on exports: new evidence from selected European Union countries and Turkey," Asia-Pacific Journal of Regional Science, Springer, vol. 6(3), pages 1195-1219, October.
    10. Vijay Kumar & Hammam Alshazly & Sahar Ahmed Idris & Sami Bourouis, 2021. "Evaluating the Impact of COVID-19 on Society, Environment, Economy, and Education," Sustainability, MDPI, vol. 13(24), pages 1-21, December.
    11. Naudé, Wim, 2020. "Entrepreneurial Recovery from COVID-19: Decentralization, Democratization, Demand, Distribution, and Demography," GLO Discussion Paper Series 631, Global Labor Organization (GLO).
    12. Mohammad Reza Farzanegan & Hans Philipp Hofmann, 2021. "A Matter of Trust? Political Trust and the Covid-19 Pandemic," CESifo Working Paper Series 9121, CESifo.
    13. Galiani, Sebastian, 2022. "Pandemic economics," Journal of Economic Behavior & Organization, Elsevier, vol. 193(C), pages 269-275.
    14. Rajeev K. Goel & Michael A. Nelson, 2021. "Drivers of COVID-19 vaccinations: vaccine delivery and delivery efficiency in the United States," Netnomics, Springer, vol. 22(1), pages 53-69, June.
    15. Mohammad Reza Farzanegan, 2021. "The Effect of Public Corruption on Covid-19 Fatality Rate: A Cross-Country Examination," CESifo Working Paper Series 8938, CESifo.
    16. Goel, Rajeev K. & Nelson, Michael A. & Goel, Viraat Y., 2021. "COVID-19 vaccine rollout—scale and speed carry different implications for corruption," Journal of Policy Modeling, Elsevier, vol. 43(3), pages 503-520.
    17. Christoph von Hagke & Chloe Hill & Angela Hof & Thomas Rinder & Andreas Lang & Jan Christian Habel, 2022. "Learning from the COVID-19 Pandemic Crisis to Overcome the Global Environmental Crisis," Sustainability, MDPI, vol. 14(17), pages 1-8, August.
    18. Naoto Jinji & Xingyuan Zhang & Shoji Haruna, 2022. "Deep Integration, Global Firms, and Technology Spillovers," Advances in Japanese Business and Economics, Springer, number 978-981-16-5210-3, June.
    19. Mustafa Kamal & Muhammad Usman & Atif Jahanger & Daniel Balsalobre-Lorente, 2021. "Revisiting the Role of Fiscal Policy, Financial Development, and Foreign Direct Investment in Reducing Environmental Pollution during Globalization Mode: Evidence from Linear and Nonlinear Panel Data ," Energies, MDPI, vol. 14(21), pages 1-25, October.
    20. Rajeev K. Goel & Michael A. Nelson, 2021. "COVID-19 internet vaccination information and vaccine administration: evidence from the United States," Journal of Economics and Finance, Springer;Academy of Economics and Finance, vol. 45(4), pages 716-734, October.

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    More about this item

    Keywords

    COVID-19; globalization; public health;
    All these keywords.

    JEL classification:

    • I12 - Health, Education, and Welfare - - Health - - - Health Behavior
    • I18 - Health, Education, and Welfare - - Health - - - Government Policy; Regulation; Public Health
    • I15 - Health, Education, and Welfare - - Health - - - Health and Economic Development
    • F63 - International Economics - - Economic Impacts of Globalization - - - Economic Development
    • F68 - International Economics - - Economic Impacts of Globalization - - - Policy

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