Efficient Mask Allocation during a Pandemic

24 Pages Posted: 1 Feb 2022

See all articles by Wei-Cheng Chen

Wei-Cheng Chen

Academia Sinica - Research Center for Humanities and Social Science

Lin Chen

National Taiwan University - Department of Economics

Yi-Cheng Kao

Chung Yuan Christian University - Department of Business Administration

Date Written: November 18, 2021

Abstract

We analyse the allocation of face masks with the goal of minimizing mortality during a pandemic through airborne transmission. When the initial distribution of masks is private information, the optimal allocation achieved by a sophisticated mechanism in most cases maximizes the coverage rate by incentivizing individuals who initially own a mask to reveal this information in exchange for a better chance to receive masks in the future. We propose a novel and simple mechanism, which reduces death by a sizable number compared with simple random assignment. Our simulation shows that, for small to medium early coverage rates, the new mechanism approximately attains the minimum mortality.

Note:
Funding: None to declare.

Declaration of Interests: None to declare.

Keywords: COVID-19, face masks, medical rationing, market design, SIR model

JEL Classification: D47, D82, I18

Suggested Citation

Chen, Wei-Cheng and Chen, Lin and Kao, Yi-Cheng, Efficient Mask Allocation during a Pandemic (November 18, 2021). Available at SSRN: https://ssrn.com/abstract=4006799 or http://dx.doi.org/10.2139/ssrn.4006799

Wei-Cheng Chen

Academia Sinica - Research Center for Humanities and Social Science ( email )

128 Academia Road
Taipei
Taiwan

Lin Chen

National Taiwan University - Department of Economics ( email )

21 Hsiu Chow Rd
Taipei, 10020
Taiwan

Yi-Cheng Kao (Contact Author)

Chung Yuan Christian University - Department of Business Administration ( email )

200 Chung Pei Rd.
Chung Li City, 32023
Taiwan

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