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Disease and Development: The Role of Human Capital

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  • Rodolfo Manuelli

    (Department of Economics, Washington University in St. Louis and Federal Reserve Bank of St. Louis)

Abstract

This paper presents a model of human capital accumulation that allows for feedback effects between the consequences and the likelihood of suffering from particular diseases and the decisions to invest in knowledge, both in the form of schooling and on-the-job training. I use a calibrated version of the model to estimate the long run impact of eradicating HIV/AIDS and malaria for a number of Sub- Saharan African countries. I find that the effect on output per worker can be substantial.

Suggested Citation

  • Rodolfo Manuelli, 2011. "Disease and Development: The Role of Human Capital," Working Papers 2011-008, Human Capital and Economic Opportunity Working Group.
  • Handle: RePEc:hka:wpaper:2011-008
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    File URL: http://humcap.uchicago.edu/RePEc/hka/wpaper/Manuelli_2011_disease-development-role.pdf
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    References listed on IDEAS

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