This conceptual paper aims to provide a further understanding of the impact of economic policy uncertainty (EPU), news framing and information overload on panic buying behavior during the COVID-19 pandemic.
Drawing on earlier research and news releases about the COVID-19 outbreak, this paper advances testable propositions based on the protection motivation theory and information processing theory.
This paper infers that the major shift in consumer decision-making towards panic buying is a result of high EPU. International reports have contributed to deepening this uncertainty, and the consequences of this EPU are expected to affect the economic recovery through 2022. Furthermore, the adoption of particular frames of the pandemic has played a key role in the dissemination of misinformation and fake news during the public health crisis and affected purchasing decisions. The study also infers that the perceived threat among consumers is driven by information overload as a source of mistrust towards economic and health information sources.
This paper addresses two theoretical gaps associated with consumer buying behaviour. First, it highlights the impact of EPU, as a macroeconomic indicator, on consumer buying behaviour. Second, this paper is an attempt to integrate theories from different disciplines to foster an adequate understanding of buying behavior during the COVID-19 outbreak period.
