As noted in parallel research from Gallup and others, attitudes about COVID’s risks and willingness to engage in disease-suppression behaviors like social distancing are strongly related to politics, even more so than to local exposure to the virus or demographic factors that predict severe health consequences from the virus like age or pre-existing medical conditions. Political affiliation has deeply shaped how people understand and respond to the pandemic. One focus of our research is the role of information. adults in July and 5,000 each month through December, we have sought to better understand what is happening during the pandemic, better anticipate what is likely to unfold, and inform public policy along the way.
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These were among the considerations that motivated Franklin Templeton to partner with Gallup and launch the Economics of Recovery Study. As disease outcomes shifted over time and across geographic regions, new questions were raised about whether and how consumer-facing businesses could operate and whether consumers would feel comfortable going out, even if permitted. GDP fell 8%, with massive losses of 41% coming from arts, entertainment, recreation, accommodation, and food services. From the first quarter of 2020 to the second, U.S. The varied responses to these novel circumstances have transformed economic life during the pandemic. With many schools and workplaces closed or dramatically altered, workers must juggle new familial obligations and safety concerns. Consumers face tremendous uncertainty about the level of risk they take in performing previously mundane behaviors like eating out, exercising, or travelling. Businesses face new and sometimes severe restrictions from local or state governments that have varied based on the course of the disease and political pressure. The COVID-19 pandemic has imposed unusual and extreme circumstances upon consumers and businesses. Background on the new Franklin Templeton-Gallup study
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Moreover, the consumption of away-from-home services depends in large part on confidence, which is higher among better informed respondents. We also draw attention to the economic costs of distorted policy preferences by showing labor force participation rates are 12 percentage points lower for adults with children in distance learning compared to in-person schooling. Weaker adherence to mask-wearing protocols will likely result in the same. The distortion of facts undermines public health in several important ways: lower vaccine acceptance-resulting from misperceptions about vaccine safety and efficacy-will result in more transmissions and deaths. Chief Investment Officer - Fixed Income Group, Franklin Templeton