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The economics of aging with infectious and chronic diseases

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  • Strulik, Holger
  • Grossmann, Volker

Abstract

We develop an economic model of aging in which the susceptibility and severity of infectious diseases depend on the accumulated health deficits (immunosenescence) and the life history of infections affects the accumulation of chronic health deficits (inflammaging). Individuals invest in their health to slow down health deficit accumulation and take measures to protect themselves from infectious diseases. We calibrate the model for an average American and explore how health expenditure, life expectancy, and the value of life depend on individual characteristics, medical technology, and the disease environment. We then use counterfactual computational experiments of the U.S. epidemiological transition 1860–2010 to show that the decline of infectious diseases caused a substantial decline of chronic diseases and contributed more to increasing life expectancy than advances in the treatment of chronic diseases.

Suggested Citation

  • Strulik, Holger & Grossmann, Volker, 2024. "The economics of aging with infectious and chronic diseases," Economics & Human Biology, Elsevier, vol. 52(C).
    • Handle: RePEc:eee:ehbiol:v:52:y:2024:i:c:s1570677x23001004
    DOI: 10.1016/j.ehb.2023.101319
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    More about this item

    Keywords

    Epidemiological transition; Health behavior; Health deficits; Immunosenescence; Infections; Inflammaging; Longevity;
    All these keywords.

    JEL classification:

    • D15 - Microeconomics - - Household Behavior - - - Intertemporal Household Choice; Life Cycle Models and Saving
    • I10 - Health, Education, and Welfare - - Health - - - General
    • I12 - Health, Education, and Welfare - - Health - - - Health Behavior
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • J26 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Retirement; Retirement Policies

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