I would have favored a hard quarantine, separating healthy from innocent with watchful eyes for anytime someone showed signs of infection. I would have been transparent about it, explaining to residents what we were doing and why. Would my way have worked? Who knows, but it would have the advantage of keeping Uther and Jaina engaged on my side.
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Yes to both of you. He might even have asked infected citizens to step up for mercy killings - as quick and painless as could be arranged - so they did not spread the disease.