Impact of COVID-19 School Closures on Economy Revealed

Empty classroom illustrating school closures

Oxford, UK, September 12, 2025

News Summary

A study from Oxford University highlights the economic ramifications of school closures during the COVID-19 pandemic in the US. While these measures may have prevented approximately 77,200 deaths, they also led to an estimated £1.6 trillion ($2 trillion) long-term economic loss due to significant learning disruptions. The findings suggest that interventions like mask mandates and testing programs could have been more effective and less economically damaging.

Oxford, UK – A recent study from Oxford University’s Department of Statistics and the Leverhulme Center for Demographic Science reveals that school closures during the COVID-19 pandemic had costly economic consequences in the United States, despite their role in preventing deaths. The research, which analyzed non-pharmaceutical interventions (NPIs) implemented across states in 2020, suggests that while school closures prevented approximately 77,200 COVID-19 deaths and lowered transmission rates by 8.2%, they also resulted in an estimated £1.6 trillion ($2 trillion) long-term economic loss, primarily due to detrimental effects on education.

Students experienced significant disruptions in their learning, losing upwards of 0.35 school-years, with many states opting to keep schools closed for nearly the entire 2020-2021 academic year. In contrast, mask mandates emerged as a more effective strategy, yielding a 19% reduction in transmission rates at considerably lower economic costs. Testing and contact tracing programs also proved to be more efficient relative to their implementation costs.

The lead author, Nicholas Irons, highlighted that the policy responses during the pandemic were not optimal overall, given the unprecedented challenges faced. The study emphasizes that better planning and execution of interventions could have mitigated the economic impact of the pandemic. An ideal combination of strategies might have cut the total economic impact in the US from £3.7 trillion ($4.6 trillion) to £1.5 trillion ($1.9 trillion), while saving over 100,000 additional lives.

Co-author Adrian Raftery pointed to the need for improved national surveillance data in the US, akin to what was practiced in the UK during the pandemic. The findings of this research provide crucial insights for future pandemic planning, highlighting which interventions can achieve better health outcomes while minimizing economic disruption.

For future outbreaks, the researchers recommend rapid deployment of testing, effective contact tracing, mask mandates, social distancing, and targeted facility closures as part of a comprehensive strategy to manage public health crises efficiently.

This research paper, titled “Optimal pandemic control strategies and cost‑effectiveness of COVID‑19 non‑pharmaceutical interventions in the United States,” has been published in BMC Global and Public Health.

Key Findings of the Study

  • COVID-19 Deaths Prevented: Roughly 77,200
  • Transmission Rate Reduction: 8.2%
  • Long-term Economic Loss from School Closures: £1.6 trillion ($2 trillion)
  • School-Year Loss: Upwards of 0.35 school-years
  • Mask Mandates Effectiveness: 19% transmission reduction
  • Potential Economic Impact Reduction: From £3.7 trillion ($4.6 trillion) to £1.5 trillion ($1.9 trillion)

Context of the Research

This research was conducted to assess the impact of non-pharmaceutical interventions (NPIs) during the early years of the COVID-19 pandemic. NPIs, including school closures, mask mandates, and testing initiatives, were enacted to control the spread of the virus while health systems were under significant pressure. Understanding the economic implications of these strategies is crucial for making informed decisions in future public health emergencies.

FAQ

What was the main finding of the Oxford University study on school closures during COVID-19?

The study found that while school closures prevented around 77,200 COVID-19 deaths and reduced transmission rates by 8.2%, they also led to significant long-term economic losses estimated at £1.6 trillion ($2 trillion).

How much school learning was lost due to closures?

Students lost upwards of 0.35 school-years of learning, with some states keeping schools closed for nearly the entire 2020-2021 academic year.

What alternative interventions were found to be more effective than school closures?

Mask mandates showed a greater effectiveness, reducing transmission rates by 19% at minimal economic costs. Testing and contact tracing programs were also identified as efficient relative to their costs.

What do the researchers recommend for future pandemic planning?

The researchers recommend strategies such as rapid deployment of testing, effective contact tracing, mask mandates, social distancing, and targeted facility closures for better pandemic management.

Key Features from the Study

Feature Details
COVID-19 Deaths Prevented 77,200
Transmission Rate Reduction 8.2%
Long-term Economic Costs £1.6 trillion ($2 trillion)
School-Year Learning Loss 0.35 school-years
Mask Mandates Effectiveness 19% transmission reduction
Potential Total Economic Impact Reduction From £3.7 trillion to £1.5 trillion ($4.6 trillion to $1.9 trillion)

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Additional Resources

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