We use full-population data at the individual death certificate, prescribed opioid pill, and individual municipal bond level to investigate the effects of the opioid crisis on local governments. The opioid epidemic lowers credit ratings and increases new offer yields among the most affected...

Local opioid abuse reduces net worker inflows, taxable income, high skilled labor, corporate and aggregate innovation, new business creation, and job growth from start-ups in affected areas, holding socioeconomic conditions constant. Changes in house prices, parks and recreation expenditures,...

We study the spillover effects of the opioid epidemic through the banking network. Using granular opioid supply data, we first document a negative link between local opioid supply and deposit growth at both the county and bank levels. Facing deposit drains, exposed banks reduce lending...