Abstract
This paper investigates the impact of the Covid-19 on exports and imports. The severity of the Covid-19 is measured by the mortality rate, death cases per 1000 population and confirm cases per 1000 population. It reveals that the mortality rate is the proper proxy variable for the severity of the Covid-19. To guide effective policy responses to the Covid-19, we need to explore the impact of the Covid-19 on demand and supply. Distinguishing between trade in final goods and trade in intermediate inputs, this paper shows that high mortality is associated with the reduction in exports of final goods, intermediate goods, and imports of final goods, indicating that the Covid-19 includes aspects of both demand and supply shock.
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