Strategic Immunization and Group Structure
We consider the spread of a harmful state through a population that is divided into two groups. The groups interact with each other to an extent that is parameterized, capturing the full spectrum from perfectly positive to perfectly negative assortativity. We first consider a central planner who can immunize a fraction of the population to eradicate the harmful state. The optimal policy either divides equally the resources across groups, or concentrates entirely on one group, depending on whether there is positive or negative assortative matching, respectively. Furthermore, the value of the social planner learning the exact level of assortativity is zero when interactions are positively assortative, and is increasing in the intensity of negative assortativity. We then study a game in which agents can, at a cost, achieve immunity. Inter-group interactions generate large asymmetries across groups in many outcomes of interest, such as welfare and prevalence, even when groups are, ex-ante, very similar. Hence, a failing to account for the impact of inter-group interactions may lead to over-estimating underlying differences across groups, and to suboptimal immunization plans.
|Date of creation:||01 Mar 2012|
|Date of revision:|
|Contact details of provider:|| Postal: |
Web page: http://www.essex.ac.uk/economics/
More information through EDIRC
|Order Information:|| Postal: Discussion Papers Administrator, Department of Economics, University of Essex, Wivenhoe Park, Colchester CO4 3SQ, U.K.|
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Toxvaerd, Flavio, 2010. "Recurrent Infection and Externalities in Prevention," CEPR Discussion Papers 8112, C.E.P.R. Discussion Papers.
- Geoffard, Pierre-Yves & Philipson, Tomas, 1997. "Disease Eradication: Private versus Public Vaccination," American Economic Review, American Economic Association, vol. 87(1), pages 222-30, March.
- Barrett, Scott & Hoel, Michael, 2007.
"Optimal disease eradication,"
Environment and Development Economics,
Cambridge University Press, vol. 12(05), pages 627-652, October.
- Michael Kremer, 1996. "Integrating Behavioral Choice into Epidemiological Models of the AIDS Epidemic," NBER Working Papers 5428, National Bureau of Economic Research, Inc.
- López-Pintado, Dunia, 2008.
"Diffusion in complex social networks,"
Games and Economic Behavior,
Elsevier, vol. 62(2), pages 573-590, March.
- Brito, Dagobert L. & Sheshinski, Eytan & Intriligator, Michael D., 1991. "Externalities and compulsary vaccinations," Journal of Public Economics, Elsevier, vol. 45(1), pages 69-90, June.
- repec:cup:cbooks:9780521674096 is not listed on IDEAS
- Andrea Galeotti & Sanjeev Goyal, 2007.
"A Theory of Strategic Diffusion,"
Economics Discussion Papers
635, University of Essex, Department of Economics.
- Federico Echenique & Roland G. Fryer Jr & Alex Kaufman, 2006. "Is School Segregation Good or Bad?," American Economic Review, American Economic Association, vol. 96(2), pages 265-269, May.
- Scott Barrett, 2003. "Global Disease Eradication," Journal of the European Economic Association, MIT Press, vol. 1(2-3), pages 591-600, 04/05.
- Boulier Bryan L. & Datta Tejwant S. & Goldfarb Robert S, 2007. "Vaccination Externalities," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 7(1), pages 1-27, May.
- Toxvaerd, Flavio, 2010. "Infection, Acquired Immunity and Externalities in Treatment," CEPR Discussion Papers 8111, C.E.P.R. Discussion Papers.
- repec:cup:cbooks:9780521857406 is not listed on IDEAS
- Kremer, Michael, 1996. "Integrating Behavioral Choice into Epidemiological Models of AIDS," The Quarterly Journal of Economics, MIT Press, vol. 111(2), pages 549-73, May.
- Jackson Matthew O. & Rogers Brian W., 2007. "Relating Network Structure to Diffusion Properties through Stochastic Dominance," The B.E. Journal of Theoretical Economics, De Gruyter, vol. 7(1), pages 1-16, February.
- Andrea Galeotti & Sanjeev Goyal, 2009. "Influencing the influencers: a theory of strategic diffusion," RAND Journal of Economics, RAND Corporation, vol. 40(3), pages 509-532.
When requesting a correction, please mention this item's handle: RePEc:esx:essedp:707. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Essex Economics Web Manager)
If references are entirely missing, you can add them using this form.