Typical of the AIDS epidemics is that governments in developing countries under-invest in drugs production because of the possible appearance of a curative vaccine. We design a set of financial tools allowing to hedge against this event and achieving full risk-sharing. We show that the introduction of those assets increase social welfare in developing countries, as well as the number of treated patients and the provision of public good.
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Paper provided by Institute for Empirical Research in Economics - IEW in its series IEW - Working Papers with number
iewwp227.