EconPapers    
Economics at your fingertips  
 

The role of vaccination in a model of asset pricing during a pandemic

Yuta Saito

PLOS ONE, 2022, vol. 17, issue 4, 1-6

Abstract: This paper examines the effect of pandemic vaccination on asset prices in a simple asset pricing model à la Lucas 1978. In this model, asset prices depend on susceptible individuals’ saving motives to insure against a reduction in labour income due to getting they get the virus. Hence distributing vaccine reduces precautionary saving motives and asset prices. This implies that reducing the income gap between susceptible and infected individuals, such as by cash handouts, eases the negative effect of vaccine supply on asset prices.

Date: 2022
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://journals.plos.org/plosone/article?id=10.1371/journal.pone.0266511 (text/html)
https://journals.plos.org/plosone/article/file?id= ... 66511&type=printable (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:plo:pone00:0266511

DOI: 10.1371/journal.pone.0266511

Access Statistics for this article

More articles in PLOS ONE from Public Library of Science
Bibliographic data for series maintained by plosone ().

 
Page updated 2025-05-18
Handle: RePEc:plo:pone00:0266511