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The relation between wealth and health: Evidence from a world panel of countries

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  • Hansen, Casper Worm

Abstract

Based on a world sample of countries, this paper presents panel data evidence that documents a U-shaped relation between GDP per capita (wealth) and life expectancy (health). The evidence also shows that excluding the possibility of a nonmonotonic relationship induces erroneous conclusions about the time-varying wealth–health correlation.

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Bibliographic Info

Article provided by Elsevier in its journal Economics Letters.

Volume (Year): 115 (2012)
Issue (Month): 2 ()
Pages: 175-176

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Handle: RePEc:eee:ecolet:v:115:y:2012:i:2:p:175-176

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Web page: http://www.elsevier.com/locate/ecolet

Related research

Keywords: Economic development; Life expectancy; Fixed effect estimation;

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References

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  1. Matteo Cervellati & Uwe Sunde, 2011. "Life expectancy and economic growth: the role of the demographic transition," Journal of Economic Growth, Springer, vol. 16(2), pages 99-133, June.
  2. Oded Galor & Omer Moav, 2004. "From Physical to Human Capital Accumulation: Inequality and the Process of Development," GE, Growth, Math methods 0410005, EconWPA.
  3. Oded Galor, 2005. "Unified Growth Theory," Development and Comp Systems 0504001, EconWPA.
  4. Hazan, Moshe, 2011. "Life Expectancy and Schooling: New Insights from Cross-Country Data," CEPR Discussion Papers 8524, C.E.P.R. Discussion Papers.
  5. Jie Zhang & Junsen Zhang, 2005. "The Effect of Life Expectancy on Fertility, Saving, Schooling and Economic Growth: Theory and Evidence," Scandinavian Journal of Economics, Wiley Blackwell, vol. 107(1), pages 45-66, 03.
  6. Cervellati, Matteo & Sunde, Uwe, 2011. "Life expectancy and economic growth: The role of the demographic transition," Munich Reprints in Economics 20078, University of Munich, Department of Economics.
  7. Kenneth D. West, 1985. "A Variance Bounds Test of the Linear Quardractic Inventory Model," NBER Working Papers 1581, National Bureau of Economic Research, Inc.
  8. Peter Lorentzen & John McMillan & Romain Wacziarg, 2008. "Death and development," Journal of Economic Growth, Springer, vol. 13(2), pages 81-124, June.
  9. Hongbin Li & Junsen Zhang & Jie Zhang, . "Effects of longevity and dependency rates on saving and growth: Evidence from a panel of cross countries," MRG Discussion Paper Series 1106, School of Economics, University of Queensland, Australia.
  10. Daron Acemoglu & Simon Johnson, 2006. "Disease and Development: The Effect of Life Expectancy on Economic Growth," NBER Working Papers 12269, National Bureau of Economic Research, Inc.
  11. Arellano, Manuel & Bond, Stephen, 1991. "Some Tests of Specification for Panel Data: Monte Carlo Evidence and an Application to Employment Equations," Review of Economic Studies, Wiley Blackwell, vol. 58(2), pages 277-97, April.
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Citations

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Cited by:
  1. Vishal Jaunky, 2013. "The Wealth-Health Nexus: New Global Evidence," Atlantic Economic Journal, International Atlantic Economic Society, vol. 41(2), pages 115-122, June.
  2. Judith A. Clarke & Nilanjana Roy & Weichun Chen, 2012. "Health and Wealth: Short Panel Granger Causality Tests for Developing Countries," Econometrics Working Papers 1204, Department of Economics, University of Victoria.
  3. Dutta, Mousumi & Husain, Zakir & Chowdhary, Nidhi, 2012. "Is health wealth? Results of a panel data analysis," MPRA Paper 39953, University Library of Munich, Germany.
  4. Zakir Husain & Mousumi Dutta & Nidhi Chowdhary, 2014. "Is Health Wealth? Results of a Panel Data Analysis," Social Indicators Research, Springer, vol. 117(1), pages 121-143, May.

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