Subsidizing the spread of COVID-19: evidence from the UK Eat-Out-to-Help-Out scheme. 

The Economic Journal, ueab074, https: //doi.org/10.1093/ej/ueab074

Commentary

This paper documents how, in the wake of the first wave of COVID-19 in the UK, massive government subsidies aimed at encouraging people to eat out in restaurants had a significant causal effect on new cases and accelerated a second wave of subsequent COVID We have documented that this has been done.

The scheme subsidized 50% of the cost of meals and non-alcoholic beverages for an unlimited number of visits to participating restaurants Monday through Wednesday, August 3-31, 2020.

There have been instances of infected clusters within a week of the start of the scheme and a slowdown within two weeks of the end of the program.