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The Impact of Poor Health on Total Factor Productivity

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Author Info
Eric Neumayer
Matthew A. Cole

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Abstract

A number of recent studies have illustrated the link between health and growth (Gallup and Sachs 2000, McCarthy et al. 2000, Bhargava et al. 2000). This paper argues that a key mechanism through which health affects growth is via total factor productivity (TFP). We first estimate TFP based on a production function and then estimate the determinants of TFP, paying particular attention to three indicators of health that are particularly problematic in developing regions: malnutrition, malaria and waterborne diseases. We find the impact of poor health on TFP to be negative, significant, and robust across a wide variety of specifications.

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Paper provided by EconWPA in its series HEW with number 0312001.

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Date of creation: 24 Dec 2003
Date of revision: 02 Nov 2004
Handle: RePEc:wpa:wuwphe:0312001

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Related research
Keywords: Total factor productivity; disease; health; underdevelopment;

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Find related papers by JEL classification:
O47 - Economic Development, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Measurement of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence
I12 - Health, Education, and Welfare - - Health - - - Health Production

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References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
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    Other versions:
  3. Shafik, Nemat, 1994. "Economic Development and Environmental Quality: An Econometric Analysis," Oxford Economic Papers, Oxford University Press, vol. 46(0), pages 757-73, Supplemen. [Downloadable!] (restricted)
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  5. Robert E. Hall & Charles I. Jones, 1999. "Why Do Some Countries Produce So Much More Output per Worker than Others?," NBER Working Papers 6564, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
    Other versions:
  6. Enke, Stephen, 1971. "Economic Consequences of Rapid Population Growth," Economic Journal, Royal Economic Society, vol. 81(324), pages 800-11, December. [Downloadable!] (restricted)
  7. Alok Bhargava & Jiang Yu, 1997. "A Longitudinal Analysis of Infant and Child Mortality Rates in Developing Countries," Indian Economic Review, Department of Economics, Delhi School of Economics, vol. 32(2), pages 141-153, July.
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  11. Francisco Rodriguez & Dani Rodrik, 1999. "Trade Policy and Economic Growth: A Skeptic's Guide to Cross-National Evidence," NBER Working Papers 7081, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  12. Gallup, J.L. & Sachs, J.D. & Mullinger, A., 1999. "Geography and Economic Development," Papers 1, Chicago - Graduate School of Business.
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    Other versions:
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    Other versions:
  20. John Luke Gallup & Jeffrey D. Sachs & Andrew Mellinger, 1999. "Geography and Economic Development," CID Working Papers 1, Center for International Development at Harvard University. [Downloadable!]
  21. Bhargava, Alok & Jamison, Dean T. & Lau, Lawrence J. & Murray, Christopher J. L., 2001. "Modeling the effects of health on economic growth," Journal of Health Economics, Elsevier, vol. 20(3), pages 423-440, May. [Downloadable!] (restricted)
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    Other versions:
  24. Martin, Will & Mitra, Devashish, 1999. "Productivity growth and convergence in agriculture and manufacturing," Policy Research Working Paper Series 2171, The World Bank. [Downloadable!]
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Full references

Cited by:
(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. Paul A. Raschky & Manijeh Schwindt, . "Aid, Catastrophes and the Samaritan's Dilemma," Working Papers 2008-06, Faculty of Economics and Statistics, University of Innsbruck. [Downloadable!]
  2. Garima Malik, 2006. "An Examination of the relationship between Health and Economic Growth," Indian Council for Research on International Economic Relations, New Delhi Working Papers 185, Indian Council for Research on International Economic Relations, New Delhi, India. [Downloadable!]
  3. Pierre-Richard Agénor & Koray Alper, 2009. "Monetary Shocks and Central Bank Liquidity with Credit Market Imperfections," Centre for Growth and Business Cycle Research Discussion Paper Series 120, Economics, The Univeristy of Manchester. [Downloadable!]
  4. Alemu, Zerihun & Roe, Terry L. & Smith, Rodney B.W., 2005. "The Impact of HIV on Total Factor Productivity," Bulletins 12976, University of Minnesota, Economic Development Center. [Downloadable!]
  5. Anonymous, 2006. "An Examination of the Relationship between Health and Economic Growth," Working Papers id:738, esocialsciences.com. [Downloadable!]
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