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Children’S Health, Human Capital Accumulation, And R&D-Based Economic Growth

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  • Baldanzi, Annarita
  • Bucci, Alberto
  • Prettner, Klaus

Abstract

We analyze the effects of children’s health on human capital accumulation and on long-run economic growth. For this purpose, we design an R&D-based growth model in which the stock of human capital of the next generation is determined by parental education and health investments. We show that (i) there is a complementarity between education and health: if parents want to have better educated children, they also raise health investments and vice versa; (ii) parental health investments exert an unambiguously positive effect on long-run economic growth, (iii) faster population growth reduces long-run economic growth. These results are consistent with the empirical evidence for modern economies in the twentieth century.

Suggested Citation

  • Baldanzi, Annarita & Bucci, Alberto & Prettner, Klaus, 2021. "Children’S Health, Human Capital Accumulation, And R&D-Based Economic Growth," Macroeconomic Dynamics, Cambridge University Press, vol. 25(3), pages 651-668, April.
  • Handle: RePEc:cup:macdyn:v:25:y:2021:i:3:p:651-668_4
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    Cited by:

    1. Bloom, David E. & Kuhn, Michael & Prettner, Klaus, 2018. "Health and Economic Growth," IZA Discussion Papers 11939, Institute of Labor Economics (IZA).
    2. Bloom, David E. & Khoury, Alexander & Kufenko, Vadim & Prettner, Klaus, 2020. "Spurring Economic Growth through Human Development: Research Results and Guidance for Policymakers," IZA Discussion Papers 12964, Institute of Labor Economics (IZA).

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    More about this item

    JEL classification:

    • I15 - Health, Education, and Welfare - - Health - - - Health and Economic Development
    • I25 - Health, Education, and Welfare - - Education - - - Education and Economic Development
    • J10 - Labor and Demographic Economics - - Demographic Economics - - - General
    • O30 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - General
    • O41 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - One, Two, and Multisector Growth Models

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