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Economic Fluctuations and Mortality:Evidence from Wavelet Analysis for Sweden 1800-2000

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Author Info

  • Krüger, Niclas A

    ()
    (Department of Business, Economics, Statistics and Informatics)

  • Svensson, Mikael

    ()
    (Department of Business, Economics, Statistics and Informatics)

Abstract

In this paper we investigate the relationship between crude and age adjusted mortality andeconomic conditions by wavelet analysis in Sweden over the period 1800-2000. We use wavelet correlations and cross-correlations to analyze the contemporaneous connection as well as the lead/lag relationship between mortality and GDP at different time scales. Our results indicate a countercyclical relationship, i.e. mortality decreases in economic upturns, for all time horizons. The relationship is strongest and highly significant for dynamics with a period between 4 and 8 years, corresponding to the length of a typical Swedish business cycle. By means of vector autoregressive modelling, we further examine the dynamics of the response in mortality to an exogenous GDP growth shock. Our results indicate that economic upturns decreases contemporaneous mortality and increases mortality between six and eight years ahead.

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Bibliographic Info

Paper provided by Örebro University, School of Business in its series Working Papers with number 2007:6.

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Length: 22 pages
Date of creation: 29 Oct 2007
Date of revision:
Publication status: Published as Krüger, Niclas A and Mikael Svensson, 'Economic Fluctuations and Mortality:Evidence from Wavelet Analysis for Sweden 1800-2000' in Journal of Population Economics, 2012, pages 1215-1235.
Handle: RePEc:hhs:oruesi:2007_006

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Postal: Örebro University School of Business, SE - 701 82 ÖREBRO, Sweden
Phone: 019-30 30 00
Fax: 019-33 25 46
Web page: http://www.oru.se/Institutioner/Handelshogskolan-vid-Orebro-universitet/
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Keywords: Mortality; GDP growth; Wavelet;

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