In the absence of effective vaccination, mass testing and quarantining of positive cases and their contacts could help to mitigate pandemics and allow economies to stay open. We investigate the effects of repeated mass testing on the COVID-19 pandemic caused by the SARS-CoV-2 virus, using data from the first ever nationwide rapid antigen testing implemented in Slovakia in autumn 2020. After the first round of testing, only districts above an ex ante unknown threshold of test positivity were re-tested. Comparing districts above and below the threshold, we provide evidence that repeated mass antigen testing can temporarily reduce the number of new infections. Our results suggest that mass testing coupled with the quarantining of positive cases and their contacts could be an effective tool in mitigating pandemics. For lasting effects, re-testing at regular intervals would likely be necessary.
The labor supply effects of becoming a grandmother are not well established in the empirical literature. We estimate the effect of becoming a grandmother on the labor supply decision of older workers. Under the assumption that grandmothers cannot predict the exact date of conception of their grandchild, we identify the effect of the first grandchild on employment (extensive margin). Our Timing-of-Events approach shows that having a first grandchild increases the probability of leaving prematurely the labor market. This effect is stronger when informal childcare is more valuable to the mother. To estimate the effect of an additional grandchild (intensive margin), we assume that the incidence of a twin birth among the third generation is not correlated with unobserved determinants of the grandmother's labor supply (first generation). Our respective instrumental variable estimations show a significant effect of further grandchildren. Our results highlight the important influence of the extended family on the decisions of older workers and point to mediating effects of different institutional settings.
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