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Endogenous longevity, health and economic growth: a slow growth for a longer life?

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Author Info
Rosa Aísa () (Departamento de Análisis Económico)
Fernando Pueyo () (Departamento de Análisis Económico)

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Abstract

We establish a theoretical set-up that is able to endogenously integrate growth and longevity. Our model captures three links between them: a longer life expectancy results in an increase in savings as well as an increase in the workforce, but health and growth compete for resources. We find that the key element is the response of longevity to an increase in health resources. Our model suggests that the first two links could be the most important in poor countries, which could explain their experience of simultaneous increases in growth and life expectancy. The reverse result may apply for developed countries.

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File URL: http://www.economicsbulletin.com/2004/volume9/EB-03I10002A.pdf
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Publisher Info
Article provided by Economics Bulletin in its journal Economics Bulletin.

Volume (Year): 9 (2004)
Issue (Month): 3 ()
Pages: 1-10
Download reference. The following formats are available: HTML (with abstract), plain text (with abstract), BibTeX, RIS (EndNote, RefMan, ProCite), ReDIF
Handle: RePEc:ebl:ecbull:v:9:y:2004:i:3:p:1-10

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Related research
Keywords: Government Spending; Growth; Health; Longevity;

Find related papers by JEL classification:
I1 - Health, Education, and Welfare - - Health
O1 - Economic Development, Technological Change, and Growth - - Economic Development

References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:

  1. Zhang, Jie & Zhang, Junsen & Lee, Ronald, 2003. "Rising longevity, education, savings, and growth," Journal of Development Economics, Elsevier, vol. 70(1), pages 83-101, February. [Downloadable!] (restricted)
  2. Kalemli-Ozcan, Sebnem & Ryder, Harl E. & Weil, David N., 2000. "Mortality decline, human capital investment, and economic growth," Journal of Development Economics, Elsevier, vol. 62(1), pages 1-23, June. [Downloadable!] (restricted)
  3. Kelley, Allen C. & Schmidt, Robert M., 1995. "Aggregate Population and Economic Growth Correlations: The Role of the Components of Demographic Change," Working Papers 95-37, Duke University, Department of Economics. [Downloadable!]
  4. Barro, Robert J, 1990. "Government Spending in a Simple Model of Endogenous Growth," Journal of Political Economy, University of Chicago Press, vol. 98(5), pages S103-26, October. [Downloadable!] (restricted)
    Other versions:
  5. de la Croix, David & Licandro, Omar, 1999. "Life expectancy and endogenous growth," Economics Letters, Elsevier, vol. 65(2), pages 255-263, November. [Downloadable!] (restricted)
    Other versions:
  6. van Zon, Adriaan & Muysken, Joan, 2001. "Health and endogenous growth," Journal of Health Economics, Elsevier, vol. 20(2), pages 169-185, March. [Downloadable!] (restricted)
  7. Bhargava, Alok & Jamison, Dean T. & Lau, Lawrence J. & Murray, Christopher J. L., 2001. "Modeling the effects of health on economic growth," Journal of Health Economics, Elsevier, vol. 20(3), pages 423-440, May. [Downloadable!] (restricted)
  8. Reinhart, Vincent Raymond, 1999. "Death and taxes: their implications for endogenous growth," Economics Letters, Elsevier, vol. 62(3), pages 339-345, March. [Downloadable!] (restricted)
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Cited by:
(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. Gregory Ponthiere, 2006. "Growth, Longevity and Public Policy," CESifo Working Paper Series CESifo Working Paper No. , CESifo Group Munich. [Downloadable!]
  2. Xavier Pautrel, 2009. "Health-enhancing activities and the environment:How competition for resources make the environmental policy beneficial," Working Papers hal-00423323_v1, HAL. [Downloadable!]
  3. Raouf, BOUCEKKINE & Bity, DIENE & ThŽophile, AZOMAHOU, 2007. "A closer look at the relationship between life expectancy and economic growth," Discussion Papers (ECON - Département des Sciences Economiques) 2007043, Université catholique de Louvain, Département des Sciences Economiques. [Downloadable!]
    Other versions:
  4. PESTIEAU, Pierre & PONTHIéRE, GrŽgory & SATO, Motohiro, 2006. "Longevity and Pay-as-you-Go pensions," CORE Discussion Papers 2006054, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE). [Downloadable!]
  5. Raouf, BOUCEKKINE & Bity, DIENE & Theophile, AZOMAHOU, 2006. "The Growth economics of epidemics," Discussion Papers (ECON - Département des Sciences Economiques) 2006021, Université catholique de Louvain, Département des Sciences Economiques. [Downloadable!]
  6. Bhattacharya, Joydeep & Qiao, Xue, 2005. "Public and Private Expenditures on Health in a Growth Model," Staff General Research Papers 12378, Iowa State University, Department of Economics. [Downloadable!]
  7. Francesco Ricci & Marios Zachariadis, 2006. "Determinants of Public Health Outcomes: A Macroeconomic Perspective," DEGIT Conference Papers c011_045, DEGIT, Dynamics, Economic Growth, and International Trade. [Downloadable!]
    Other versions:
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