We use cookies on this website to give you a better user experience. By continuing to browse the site, you are agreeing to our use of cookies. Learn more

The COVID-19 Pandemic, Air Transport Perturbation, and Sector Impacts in ASEAN Plus Five: A Multiregional Input-Output Inoperability Analysis

The COVID-19 Pandemic, Air Transport Perturbation, and Sector Impacts in ASEAN Plus Five:  A Multiregional Input-Output Inoperability Analysis
Date:
16 April 2021
Category:
Connectivity, COVID-19
Authors:
Tamat Sarmidi, Norlin Khalid, Muhamad Rias K. V. Zainuddin, Sufian Jusoh
Tags:
ASEAN, Australia, China, Japan, New Zealand, South Korea, Connectivity, COVID-19, Transportation

Print Article:

This study simulates the sector impacts of demand-side perturbations on air transport sectors due to the COVID-19 pandemic, focusing on ASEAN members plus Australia, China, Japan, the Republic of Korea, and New Zealand. This study involves (i) the generation of a multiregional input–output table from the latest Global Trade Analysis Project data, (ii) a network analysis to determine the importance of the air transport industry in each country, (iii) multiplier and linkages analyses, (iv) determinations of sector impacts from demand-side perturbations on air transport sectors due to the COVID-19 pandemic, and (v) simulation of the effect of fiscal and monetary measures to mitigate the pandemic’s impact. This study demonstrates that the aviation industry is a key sector in domestic and regional economic activities, and the reduction in air transport consumer demand due to the pandemic is estimated to cause gross domestic product (GDP) reductions from 0.4% to 2.1%. Government intervention, through fiscal and monetary policies, has, however, mitigated severe impact, moderating GDP and value-added losses. Thus, a viable policy prescription for the aviation industry is of utmost importance.

This research was conducted as a part of the project ‘ERIA Research on Covid-19’ at the Economic Research Institute for ASEAN and East Asia (ERIA).

The COVID-19 Pandemic, Air Transport Perturbation, and Sector Impacts in ASEAN Plus Five:  A Multiregional Input–Output Inoperability Analysis

Search ERIA.org

Latest Multimedia

Indonesia's ASEAN Chairmanship 2023 High-Level Policy Dialogue: ASEAN Digital Community 2045

ERIA Knowledge Lab Discusses Scaling Up Innovation and Digital Technology Ecosystem

Is ASEAN Ready for Electric Vehicles? | ASEAN Insights Podcast

Related Articles

Air pollutants, Asia, COVID-19, Energy, Environment
31 March 2021
Editor(s)/Author(s): Kazunobu Hayakawa, Souknilanh Keola
This study empirically examines how economic and social activities in Asia were affected by the COVID-19 pandemic by using the emissions amounts[...]
COVID-19, industry and manufacturing, Japan, Trade
29 March 2021
Editor(s)/Author(s): Mitsuyo Ando
Abstract: This paper investigated the impacts of COVID-19 on international production networks in machinery sectors by shedding[...]

A PHP Error was encountered

Severity: Core Warning

Message: PHP Startup: Unable to load dynamic library 'php_fileinfo.dll' (tried: /opt/plesk/php/7.4/lib/php/modules/php_fileinfo.dll (/opt/plesk/php/7.4/lib/php/modules/php_fileinfo.dll: cannot open shared object file: No such file or directory), /opt/plesk/php/7.4/lib/php/modules/php_fileinfo.dll.so (/opt/plesk/php/7.4/lib/php/modules/php_fileinfo.dll.so: cannot open shared object file: No such file or directory))

Filename: Unknown

Line Number: 0

Backtrace: