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What doesn't kill you makes you poorer: Adult wages and early-life mortality in India

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  • Lawson, Nicholas
  • Spears, Dean

Abstract

A growing literature indicates that effects of early-life health on adult economic outcomes could be substantial in developing countries, but the magnitude of this effect is debated. We document a robust gradient between the early-life mortality environment to which men in India were locally exposed in their district and year of birth and the wages that they earn as adults. A 1 percentage point reduction in infant mortality (or 10 point reduction in IMR) in an infant's district and year of birth is associated with an approximately 2 percent increase in his subsequent adult wages. Consistent with theories and evidence in the literature, we find that the level of schooling chosen for a child does not mediate this association. Because of its consequences for subsequent wages, early-life health could also have considerable fiscal externalities; if so, public health investments could come at very low net present cost.

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  • Lawson, Nicholas & Spears, Dean, 2016. "What doesn't kill you makes you poorer: Adult wages and early-life mortality in India," Economics & Human Biology, Elsevier, vol. 21(C), pages 1-16.
    • Handle: RePEc:eee:ehbiol:v:21:y:2016:i:c:p:1-16
    DOI: 10.1016/j.ehb.2015.11.006
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    2. Larsen, Anna F. & Headey, Derek & Masters, William A., 2017. "Misreporting Month of Birth: Implications for Research on Nutrition and Early Childhood in Low-Income Countries," 2017 Annual Meeting, July 30-August 1, Chicago, Illinois 258554, Agricultural and Applied Economics Association.
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