Health, Human Capital, and Development
AbstractHow much does disease depress development in human capital and income around the world? I discuss a range of micro evidence, which finds that health is both human capital itself and an input to producing other forms of human capital. I use a standard model to integrate these results and suggest a reinterpretation of much of the micro literature. I then discuss the aggregate implications of micro estimates but note the complications in extrapolating to general equilibrium, especially because of health's effect on population size. I also review the macro evidence on this topic, which consists of either cross-country comparisons or measuring responses to health shocks. Micro estimates are one to two orders of magnitude smaller than the cross-country relationship but nevertheless imply high benefit-to-cost ratios from improving certain forms of health.
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Bibliographic InfoArticle provided by Annual Reviews in its journal Annual Review of Economics.
Volume (Year): 2 (2010)
Issue (Month): 1 (09)
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Find related papers by JEL classification:
- I15 - Health, Education, and Welfare - - Health - - - Health and Economic Development
- J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
- O15 - Economic Development, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration
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- Samuel K. Ampaabeng & Chih Ming Tang, 2012. "The Long-Term Cognitive Consequences of Early Childhood Malnutrition: The Case of Famine in Ghana," Working Paper Series 64_12, The Rimini Centre for Economic Analysis.
- Venkataramani, Atheendar S., 2012. "Early life exposure to malaria and cognition in adulthood: Evidence from Mexico," Journal of Health Economics, Elsevier, vol. 31(5), pages 767-780.
- Kumar, Santosh & Dansereau, Emily & Murray, Chris, 2012. "Does Distance matter for Institutional Delivery in Rural India? An Instrumental Variable Approach," MPRA Paper 45762, University Library of Munich, Germany, revised 01 Jan 2013.
- Casper Worm Hansen, 2012. "Causes of mortality and development: Evidence from large health shocks in 20th century America," Economics Working Papers 2012-29, School of Economics and Management, University of Aarhus.
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