Bryan Caplan on the cost of Covid

Here is Bryan’s post, here is one bit:

Taking quality of life into account, how many life-years has the reaction to COVID destroyed?…

Upshot: The total cost of all COVID prevention has very likely exceeded the total benefit of all COVID prevention.

I don’t agree with Bryan’s numbers, but the more important point is one of logic.  The higher the costs of reaction to Covid, the stronger the case for subsidizing vaccines, therapeutics, and other corrective measures.  Would you accept this Bryan?  You have numerous posts about risk overreaction, but not one (if I recall correctly) calling for such subsidies.  Furthermore we just did some of those subsidies, through Operation Warp Speed, and they worked and they will fix the relevant incentives and lead to a resumption of normal life.  So the “subsidies will prove counterproductive” argument doesn’t seem strong here.  The subsidies are the (much) quicker path back to what you desire.

A second question is whether moral suasion — “don’t overreact to Covid!” — is likely to prove effective.  As I’ve already linked to, risk explains mobility reductions far more than do lockdown policies.  Or consider Sweden, which had a relatively non-panicky Covid messaging, no matter what you think of their substantive policies.  Sweden didn’t do any better on the gdp front, and the country had pretty typical adverse mobility reactions.  (NB: These are the data that you don’t see the “overreaction” critics engage with — at all.  And there is more where this came from.)

How about Brazil? While they did some local lockdowns, they

Keep reading this article on Marginal Revolution.

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