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We analyze the implications of strategic interactions between two heterogeneous groups (i.e., young and old, men and women) in a macroeconomic-epidemiological framework. The interactions between groups determine the overall prevalence of a communicable disease, which in turn affects the level of economic activity. Individuals may lower their disease exposure by reducing their mobility, but since changing mobility patterns is costly, each group has an incentive to free ride negatively affecting the chances of disease containment at the a
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