Economics Research Community Seminar – Dr Horacio Larreguy
Title: Misinformation, Distrust, and Economic Outcomes: Evidence from the Effect of Russian Misinformation in Latvia (with J. David Martinez H.)
Date: 15 May 2024
Time: 12:30 – 13:00
Venue: NUBS.2.03
If you would like to attend, please register using the following link:
Speaker: Dr Horacio Larreguy
Horacio Larreguy is an Associate Professor of Government at Harvard University. He received a PhD in Economics from MIT in 2013, Master in Economics and Finance from CEMFI in 2007 and BA in Economics from the University of Buenos Aires in 2004. His research interests include political economy and economic development using both theory, observational data and experiments. Horacio is currently working on new projects on political accountability in Africa and Latin America)
Abstract:
There is growing misinformation, especially in health and politics, and suggestive evidence indicates that its economic implications might be concerning. We study the consequences of misinformation by the Russian government aimed at eroding trust in and destabilizing Western governments in the former Soviet Union since the fall of the Iron Curtain. We exploit the Western vaccines (AstraZeneca and Janssen)’ safety scandals related to blood clots exploited by the Russian misinformation machine to erode trust in Western vaccines and governments, and rich data on early COVID-19 vaccine take up and the location of ethnic-Russian minorities in Latvia. In particular, we conduct a difference-in-differences design to assess the differential effect of such scandals on such minorities, who have been historically more susceptible to Russian misinformation and thus exhibit great skepticism towards the Latvian government’s public policies. Our results indicate a significant negative differential effect on vaccine take-up following the scandals in Latvian municipalities with a greater proportion of ethnic Russians. Moreover, these effects are reversed with the Russian invasion of Ukraine.