TY - BOOK ID - 136799603 TI - Sectoral Shocks and Spillovers: An Application to COVID-19 AU - Das, Sonali. AU - Magistretti, Giacomo. AU - Pugacheva, Evgenia. AU - Wingender, Philippe. PY - 2021 SN - 151359253X PB - Washington, D.C. : International Monetary Fund, DB - UniCat KW - United States KW - Macroeconomics KW - Economics: General KW - Diseases: Contagious KW - Economic Theory KW - Public Finance KW - Production and Operations Management KW - General Equilibrium and Disequilibrium: Input-Output Tables and Analysis KW - Business Fluctuations KW - Cycles KW - Macroeconomic Aspects of International Trade and Finance: General KW - Externalities KW - Health Behavior KW - Agriculture: Aggregate Supply and Demand Analysis KW - Prices KW - National Government Expenditures and Related Policies: General KW - Production KW - Cost KW - Capital and Total Factor Productivity KW - Capacity KW - Economic & financial crises & disasters KW - Economics of specific sectors KW - Infectious & contagious diseases KW - Economic theory & philosophy KW - Public finance & taxation KW - Spillovers KW - Financial sector policy and analysis KW - COVID-19 KW - Health KW - Supply shocks KW - Economic theory KW - Expenditure KW - Total factor productivity KW - Currency crises KW - Informal sector KW - Economics KW - International finance KW - Communicable diseases KW - Supply and demand KW - Expenditures, Public KW - Industrial productivity KW - Covid-19 UR - https://www.unicat.be/uniCat?func=search&query=sysid:136799603 AB - This paper examines the role of sectoral spillovers in propagating sectoral shocks in the broader economy, both in the past and during the COVID-19 pandemic. In particular, we study how shocks that occur within a sector itself and spillovers from shocks to other sectors affect sectoral activity, for a large sample of countries from 1995 to 2014. We find that both supply and demand shocks—measured as changes in, respectively, productivity and government purchases at the sector level—have large spillover effects on sector-level gross value added and on a sector’s share of the economy. We then use these historical estimates, together with the network structure of global production, to quantify the spillovers from the economic shock associated with the pandemic. We find spillover effects to be sizeable, making up a significant fraction of the overall decline in activity in 2020.Our results have implications for the design of policies with a sectoral dimension. ER -