Open for Economic Activities during the COVID-19 Pandemic: Factors Related to State Reopening Policies in a Federal Policy Vacuum

Abstract

What factors influence state governors to issue an executive order to reopen economic activities more or less quickly when removing the COVID-19 pandemic restrictions? Without comprehensive federal guidelines, state governors were faced with an administrative dilemma in devising mitigation policies that promoted safe public health measures while encouraging more business activity. Following the federal directive to reopen in April 2020, governors in all 50 states signed executive orders, but some waited longer than others. We argue that variation in the timing of the enactment of initial executive orders is influenced by political factors, financial resources factors, interstate factors, and problem severity of the public health incidence. Using an event history analysis, our Cox proportional hazard regression model suggests that states with unified Republican governments, more state funding obtained from the Coronavirus Aid, Relief, and Economic Security (CARES) Act, and participation in regional collaboration resumed activities earlier compared to states with more neighbors that issued reopening executive orders and states with more per capita income. Results indicate that, in crisis situations, unified political partisanship, the receipt of federal funding, and coordination with other states facilitate rapid policy adoption.

Keywords:

• Administrative dilemma
• COVID-19
• crisis leadership
• rapid policy adoption
• state reopening policy

Acknowledgments

As most readers of this journal know, Dr. Jeffrey L. Brudney, who was past chief editor of Nonprofit and Voluntary Sector Quarterly, passed away in April 2021. We discussed this article with Dr. Brudney and are thankful for his valuable feedback during the developmental stages.

Disclosure statement

No potential conflict of interest was reported by the author(s).

Data availability statement

Data used in this article will be shared upon reasonable request to the corresponding author.

Additional information

Notes on contributors

Nara Yoon

Nara Yoon received her doctorate from the Maxwell School of Citizenship and Public Affairs at Syracuse University, and is currently an Assistant Professor in the School of Strategic Leadership Studies at James Madison University. Her research focuses on governance in public and nonprofit management.

Michelle L. Lofton

Michelle L. Lofton is an Assistant Professor of Public Budgeting and Finance in the Department of Public Administration and Policy at the University of Georgia. Dr. Lofton’s research explores the intersection of public finance and public management including working capital management, fiscal institutions, and state and local government budgeting.