Temporal and spatial effects of mass shootings on gun demand

Mass shootings in the U.S. have been at the center of the public crisis debate for a long time. Combining information on mass shootings with background check reports from the Federal Bureau of Investigation, this study applies mass shootings as exogenous shocks and reveals that the demand for guns is especially strong in the month in which a shooting occurs, and it decays with time. In addition, results confirm a spatial spillover effect of mass shootings, in which a mass shooting in one state affects gun demand in other states. The magnitude of the effect depends on the distance between the states. Our analysis also explores the difference in the effects between states with loose regulations on handguns and long guns and those with strict regulations. In the former, gun demand increases significantly after mass shootings, whereas in the latter the increase is insignificant. Finally, this study shows that consumers respond heterogeneously given the different characteristics of mass shootings, such as the number of victims and location.