Tracking the economy – UBS

Google mobility data is helpful at a time when there are few reliable economic statistics. It is not a direct guide to the economy and should be used with care, as Paul Donovan from UBS notes.

Key quotes

“Google mobility reports show where people are visiting, using a tracking app. Six places are reported: grocery and pharmacy; parks; transit stations (public transport); retail and recreation; residential; workplaces. The data helps health authorities monitor lockdowns.”

“Retail visits will not match retail sales. Online retail sales will appear in the ‘residential’ category. Retail visits data in economies with high online sales will miss this.”

“Workplace visits will not match how many people have stopped working. The data presumably covers office and factory locations. That will not record people working from home, farmers, delivery drivers, shop workers, teachers, people like plumbers who work in houses, etc. Looking at the detailed US Occupation Employment Statistics, about 38% of the workforce seems likely to work at Google’s workplaces’.”