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Economic complexity and health outcomes: A global perspective

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  • Vu, Trung V.

Abstract

Do a country's economic structures matter for its national health status? This study, for the first time, examines the extent to which the mix of products a country produces (and exports) affects population health. For this purpose, I employ the economic complexity index (ECI) that relies on the sophistication of export bundles to extract information on the availability of productive capabilities within an economy. Using unbalanced panel data for 103 countries between 1970 and 2015, this paper documents strong and robust evidence that countries exporting complex (high productivity) products, on average, enjoy better health outcomes, compared with those whose economic structures are mainly based on unsophisticated (low productivity) products. Additionally, there exists evidence that a key channel through which ECI transmits to health improvements is via strengthening employment opportunities. It follows from these findings that health improvements can be fostered by structural transformation toward producing a more diverse range of sophisticated products.

Suggested Citation

  • Vu, Trung V., 2020. "Economic complexity and health outcomes: A global perspective," Social Science & Medicine, Elsevier, vol. 265(C).
    • Handle: RePEc:eee:socmed:v:265:y:2020:i:c:s0277953620306997
    DOI: 10.1016/j.socscimed.2020.113480
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    5. Ashraf, Junaid, 2022. "Do political instability, financial instability and environmental degradation undermine growth? Evidence from belt and road initiative countries," Journal of Policy Modeling, Elsevier, vol. 44(6), pages 1113-1127.
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    7. Trung V. Vu, 2022. "Linking LGBT inclusion and national innovative capacity," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 159(1), pages 191-214, January.
    8. Gnangnon, Sèna Kimm, 2022. "Effect of the Duration of Membership in the GATT/WTO on Human Development in Developed and Developing Countries," EconStor Preprints 265061, ZBW - Leibniz Information Centre for Economics.
    9. Dominik Hartmann & Flavio L. Pinheiro, 2022. "Economic complexity and inequality at the national and regional level," Papers 2206.00818, arXiv.org, revised Jun 2022.
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    12. Bryan Rivera & Marcelo Leon & Gino Cornejo & Hector Florez, 2023. "Analysis of the Effect of Human Capital, Institutionality and Globalization on Economic Complexity: Comparison between Latin America and Countries with Greater Economic Diversification," Economies, MDPI, vol. 11(8), pages 1-16, July.
    13. Sèna Kimm Gnangnon, 2023. "Effect of the duration of membership in the GATT/WTO on human development in developed and developing countries," Empirica, Springer;Austrian Institute for Economic Research;Austrian Economic Association, vol. 50(4), pages 943-983, November.
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    16. Hamid Sepehrdoust & Mohsen Tartar & Aliakbar Gholizadeh, 2022. "Economic complexity, scientific productivity and income inequality in developing economies," Economics of Transition and Institutional Change, John Wiley & Sons, vol. 30(4), pages 737-752, October.
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    20. Ghazala Aziz, 2023. "Impact of Green Innovation, Sustainable Economic Growth, and Carbon Emission on Public Health: New Evidence of Non-Linear ARDL Estimation," Sustainability, MDPI, vol. 15(4), pages 1-20, February.
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    More about this item

    Keywords

    Economic complexity; Health outcomes; Life expectancy; Mortality;
    All these keywords.

    JEL classification:

    • I15 - Health, Education, and Welfare - - Health - - - Health and Economic Development
    • J21 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Force and Employment, Size, and Structure
    • O14 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Industrialization; Manufacturing and Service Industries; Choice of Technology

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