MONEY

COVID-19 school closures will cost U.S. economy $2 trillion, study finds

Oct 21, 2025, 5:03 AM

COVID-19 lockdown...

A teacher interacts with students virtually while sitting in an empty classroom. (Photo: Jon Cherry, Getty Images)

(Photo: Jon Cherry, Getty Images)

A recent study from the University of Washington and Oxford found school closures caused by COVID-19 in 2020 will cost the U.S. economy $2 trillion.

The staggering future deficit mainly stems from setbacks in student learning. The study revealed a significant global learning shortfall from the pandemic that needs to be addressed.

Researchers explained a combination of masks, testing, social distancing and targeted shutdowns could have cut the pandemic’s cost from $4.6 trillion to $1.9 trillion.

“U.S. COVID-19 school closure was not cost-effective, but other measures were,” the study stated.

Effectiveness of lockdowns during COVID-19 pandemic

They found lockdowns were most effective when they were implemented early and were strict.

Researchers also found that while lockdowns substantially lessened the spread of COVID-19, they had severe social and economic consequences, including disrupting the economy, creating job loss, and degrading student learning.

Health, economic, and social impacts were felt overwhelmingly by marginalized communities.

However, researchers noted that high-quality evidence on the economic impact of non-pharmaceutical interventions (NPIs) was hard to find.

“Regarding cost-effectiveness, testing, contact tracing, quarantine, and social distancing were identified as highly cost-effective, but the available reviews noted a lack of quality research and conclusive evidence,” the study stated.

Contributing: Frank Lenzi and Katrina Guischard, KIRO Newsradio; Julia Dallas, MyNorthwest

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