Three Essays in Empirical Microeconomics

This dissertation consists of three studies that apply diverse methodological approaches, including cross-national survey data, social media content analysis, and an online experiment, to explore individual behavior within the field of empirical microeconomics.

The first two studies are motivated by the global shock of COVID-19 pandemic, which triggered disruption in many aspects of life due to public health responses such as lockdowns. While prior research has examined pandemic-induced behavioral changes, much of it relied on single-country datasets, limiting the ability to generalize findings or assess how specific lockdown characteristics influence changes in behavior. The first two studies address this gap by employing cross-national data to provide a more comprehensive analysis of the impact of lockdown measures on the changes in daily habits. The first study investigates changes in hygiene habits – specifically, face mask usage and daily handwashing frequency – and people’s long-term beliefs about the persistence of these changes after the pandemic. Using a representative survey across eight countries, together with Twitter and Google Trends analysis, it finds that both behaviors increased significantly during lockdowns. ... mehrLong-term beliefs about these habits are sticky and do not fall back to the level before the pandemic. The results reveal that stricter lockdown leads to stronger responses. Lockdown lengths also contribute to an improvement in hygiene practices, but too long lockdown might backfire. Drawing on the same survey dataset, the second study focuses on the shifts in digital habits such as online streaming, remote work, online studying and digital gaming. The results show that both lockdown stringency and lockdown lengths are positively associated with changes in digital activities, however, the effect of lockdown lengths are not linear.

The third study departs from the pandemic context to explore a broader trend that it accelerated: the growing reliance on digital channels for financial advice. As in-person financial counselling declined during the pandemic, individuals increasingly turn to virtual sources for investment advice. This shift raises questions about the quality and consequences of online peer advice. To investigate this, the third study uses an online experiment to assess the impact of online advice, sourced from Reddit, on an investment task. The findings reveal that advice leads to improved investment quality. Moreover, individuals are more likely to choose advisors with high past returns, even when doing so involves increased risk exposure. Individuals who could choose an advisor valued their portfolio more highly compared to those who made decisions by themselves, suggesting that access to advice can enhance both objective and perceived investment outcomes.

Overall, these studies contribute to our understanding of how exogenous shocks and emerging digital environments reshape behavior. By integrating survey research, social media analysis, and experimental methods, the dissertation demonstrates the methodological breadth and practical relevance of empirical microeconomics, offering insights for policy design and digital governance.