Persistent worries about catching COVID-19 kept about 3 million Americans out of the workforce, reducing the nation’s economic output by $250 billion in the first half of 2022, according to new research on a phenomenon dubbed “Long Social Distancing.”
Close to 60% of respondents to a monthly survey of tens of thousands of adults said they wouldn’t completely return to pre-COVID activities like riding crowded subways and elevators, and were staying out of the labor force as a result. Those not working or looking for a job in part due to infection fears totaled about 2% of the labor force, which translated to the 3 million figure, the researchers found.
When accounting for the earnings of those people, the effect equates to an annual loss in gross domestic product of about $250 billion at current prices, the report said. “People with a cautious bent or with underlying health conditions that place them at higher risk of death or serious illness from COVID-19 can find sound, understandable reasons to continue and even intensify their social distancing practices,” according to the paper’s authors, including Stanford University’s Nick Bloom. “Long Social Distancing and its effects are likely to persist for many months or years.”
