How Much of Cross-Country Income Variation is Explained By Health?
AbstractWe use development accounting techniques to assess the contribution of health to differences in income per capita among countries. Rather than rely on regressions in aggregate data, we build up estimates of the effect of health starting from microeconomic data. We examine both a particular condition, anemia, and a proxy for general health, the adult survival rate. We find that differences in anemia explain 1.3 percent of the log variance of income per capita, and that differences in adult survival explain 19 percent of the log variance of income per capita. The latter figure is almost one third of the variation in output that is left unexplained by other measures of factor accumulation. (JEL: O47, I10) Copyright (c) 2003 The European Economic Association.
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Bibliographic InfoArticle provided by MIT Press in its journal Journal of the European Economic Association.
Volume (Year): 1 (2003)
Issue (Month): 2-3 (04/05)
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Web page: http://www.mitpressjournals.org/jeea
Other versions of this item:
- Gauri Kartini Shastry & David N. Weil, 2003. "How Much of Cross-Country Income Variation is Explained by Health?," Working Papers 2003-08, Brown University, Department of Economics.
- O47 - Economic Development, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Measurement of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence
- I10 - Health, Education, and Welfare - - Health - - - General
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