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The Equilibrium Dynamics of Economic Epidemiology

Author

Listed:
  • David Aadland

    (University of Wyoming)

  • David Finnoff

    (University of Wyoming)

  • Kevin x.d. Huang

    (Vanderbilt University)

Abstract

In this paper we investigate the nature of rational expectations equilibria for economic epidemiological models. Unlike mathematical epidemiological models, economic epidemiological models can produce regions of indeterminacy or instability around the endemic steady states. We consider SI, SIS, SIR and SIRS versions of economic compartmental models and show how well-intentioned public policy may contribute to disease instability and uncertainty.

Suggested Citation

  • David Aadland & David Finnoff & Kevin x.d. Huang, 2013. "The Equilibrium Dynamics of Economic Epidemiology," Vanderbilt University Department of Economics Working Papers 13-00003, Vanderbilt University Department of Economics.
    • Handle: RePEc:van:wpaper:vuecon-sub-13-00003
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    File URL: http://www.accessecon.com/pubs/VUECON/VUECON-13-00003.pdf
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    References listed on IDEAS

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    Cited by:

    1. Park, Hojeong, 2016. "A real option analysis for stochastic disease control and vaccine stockpile policy: An application to H1N1 in Korea," Economic Modelling, Elsevier, vol. 53(C), pages 187-194.

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    More about this item

    Keywords

    economic epidemiology; equilibria; dynamics; disease; indeterminacy; rational expectations;
    All these keywords.

    JEL classification:

    • D1 - Microeconomics - - Household Behavior
    • I1 - Health, Education, and Welfare - - Health

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