Document Type

Closed Project

Publication Date

Fall 2005


Timothy Anderson

Course Title

Economic Analyses

Course Number



The international use of Influenza vaccine is growing especially in developing countries. Since 1997, Avian H5N1 influenza in Southeast Asia has caused several human infections and with a high mortality rate. Experts warn that the next influenza pandemic is imminent and could be severe. Prevention and control will depend on the rapid production and worldwide distribution of specific pandemic vaccines [1]. In the United States health experts are concerned about the shortage of vaccine in the event of pandemic. This paper examines the economic impact of influenza pandemics in the United States and the benefits of vaccination. A model is presented which allows the present worth of the benefits of vaccination minus the cost of the factories needed to produce the vaccine in the event of a pandemic to be calculated. Finally this paper examines whether the public sector should invest in factories for pandemic influenza vaccines.


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