What is the Value of a Vaccine?

Examining a vaccine's value from TV's The Last of Us

In HBO’s gripping series The Last of Us, humanity faces devastation from a fungal pandemic with no vaccine available—until Ellie, who is uniquely immune, offers hope. But have you ever considered how economists would value a vaccine in such a dire scenario?

In the video below, I am joined by Washington State University Economist Chris Clarke. He joined me to explore this exact question, applying economic insights from public goods, externalities, and real-world vaccine valuation (like the COVID-19 vaccines) to the fictional world of Joel and Ellie.

We break down several economic concepts:

• Public Goods and Free Rider Problems: Why might markets fail to provide a vaccine even when it’s desperately needed?

• Valuing Life and Economic Impact: How do economists assign value to lives saved and productivity?

• Positive Externalities and Herd Immunity: How one person's vaccination can positively impact even those who don't get vaccinated.

• Ethical Dilemmas: Joel's decision in the season finale is heart-wrenching—what economic and ethical lessons can we draw?

Using real-world parallels, we estimated that such a vaccine would be worth tens or even hundreds of trillions of dollars

Watch the full video discussion here:

Have thoughts on Joel's decision or vaccine valuation? Please leave a comment!