Chari, Varadarajan V.; Kirpalani, Rishabh; Pérez, Luis - National Bureau of Economic Research - 2023
commit to contracts, virus externalities are local, and competitive equilibria are efficient. The Second Welfare Theorem also … their infection status. If society cannot control virus exposure, then virus externalities are global and competitive … externalities and result in inefficiently high economic activity. If agents cannot commit, competitive equilibria are inefficient …