Economic considerations for social distancing and behavioral based policies during an epidemic.

Abstract in brief

• Public policies that encourage social distancing are becoming more important in managing epidemics, as they aim to reduce interpersonal contact and slow disease spread.
• This text compares different approaches to implementing social distancing policies, including decentralized decision-making, full control by a social planner, and constrained planning without specific health controls, highlighting how their outcomes can vary.
• It also emphasizes the often overlooked role of recovered and immune individuals, whose behavior significantly impacts overall welfare and health during an epidemic.]