Incorporating Local Public Health Dynamics into The Rosen/Roback Spatial Equilibrium Model
Environmental and Urban Economics
OCTOBER 24, 2021
Imagine if there is an infectious disease that spreads within cities but not across cities. Throughout the COVID crisis, the city specific infection rate has varied across cities at each point in time. In a city facing a rising infection rate, people can adapt by either engaging in costly self protection (self isolating) or through public health interventions such as vaccinating the local population. In this case, public health substitutes for private health protection investments.