IDEAS home Printed from https://ideas.repec.org/a/ris/actuec/v74y1998i3p523-560.html
   My bibliography  Save this article

Externalités de la santé et de l’éducation et bien-être : un modèle d’équilibre général calculable appliqué au Bénin

Author

Listed:
  • Savard, Luc

    (Département d’économique, Université Laval)

  • Adjovi, Épiphane

    (Institut National de la statistique et de l’analyse économique, Bénin)

Abstract

In developing countries, Structural Adjustment Programs (SAP) have been implemented in order to correct internal and external disequilibriums. Two main characteristics of SAP are 1) the reduction of public expenditure and 2) the liberalization of the economy. Considering that an important part of government income is being generated from import tariffs (41 %) and that the government capacity to modify its fiscal system is limited, strong adjustment must be made on the expenditure side to maintain internal equilibrium. In this paper, we verify if it is possible to reverse positive results obtained when using standard CGE models to measure the impact of partial trade liberalization on GDP and household welfare by introducing externalities of education and health market. Various simulations are presented to compare alternative policies of adjustment and liberalization in Benin. Results of the model demonstrate that standard results on household welfare can be modified, even when externalities are weak. Dans les pays en voie de développement, des programmes d’ajustement structurel (PAS) ont été adoptés pour permettre aux pays en question de corriger leurs déséquilibres interne et externe. Deux des caractéristiques des PAS sont la réduction importante de la taille de la fonction publique et la libéralisation de l’économie. Lorsque des modèles d’équilibre général calculable (MEGC) conventionnels sont utilisés pour mesurer l’impact sur le bien-être des ménages d’une libéralisation du commerce extérieur, entre autres, les résultats montrent généralement une augmentation du PIB et du bien-être des ménages. Toutefois, au Bénin comme dans plusieurs pays africains, une part importante des recettes de l’État provient des droits de douane à l’importation (41 %), tandis que la capacité de l’État à modifier sa structure de taxation pour maintenir des recettes constantes est très limitée. Pour compenser la perte de recettes causée par la diminution des droits d’importation, le gouvernement doit réduire ses dépenses et, étant donné l’importance des dépenses de l’éducation et de la santé (27 % des dépenses totales de l’État), ces dernières seront également diminuées. La question est donc de savoir si en présence d’externalités des dépenses de santé et d’éducation les impacts seront modifiés. Les résultats de notre modèle montrent qu’avec l’introduction des externalités faibles, les effets positifs attendus sur le bien-être de la libéralisation sont inversés pour les trois groupes de ménages.

Suggested Citation

  • Savard, Luc & Adjovi, Épiphane, 1998. "Externalités de la santé et de l’éducation et bien-être : un modèle d’équilibre général calculable appliqué au Bénin," L'Actualité Economique, Société Canadienne de Science Economique, vol. 74(3), pages 523-560, septembre.
    • Handle: RePEc:ris:actuec:v:74:y:1998:i:3:p:523-560
    as

    Download full text from publisher

    File URL: http://id.erudit.org/iderudit/602273ar
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Romer, Paul M, 1986. "Increasing Returns and Long-run Growth," Journal of Political Economy, University of Chicago Press, vol. 94(5), pages 1002-1037, October.
    2. Razin, Assaf, 1977. "Economic Growth and Education: New Evidence," Economic Development and Cultural Change, University of Chicago Press, vol. 25(2), pages 317-324, January.
    3. Ngee-Choon Chia & Wahba, Sadek & Whalley, John, 1992. "A general equilibrium based social policy model for Cote d'Ivoire," Policy Research Working Paper Series 925, The World Bank.
    4. Schultz, T.P., 1992. "The Role of Education and Human Capital in Economic Development: An Empirical Assessment," Papers 670, Yale - Economic Growth Center.
    5. Oliver, F R, 1969. "Another Generalisation of the Logistic Growth Function," Econometrica, Econometric Society, vol. 37(1), pages 144-147, January.
    6. Devarajan, Shantayanan & Lewis, Jeffrey & Robinson, Sherman, 1986. "A Bibliography of Computable General Equilibrium (CGE) Models Applied to Developing Countries," CUDARE Working Papers 198339, University of California, Berkeley, Department of Agricultural and Resource Economics.
    7. Ram, Rati & Schultz, Theodore W, 1979. "Life Span, Health, Savings, and Productivity," Economic Development and Cultural Change, University of Chicago Press, vol. 27(3), pages 399-421, April.
    8. Decaluwe, Bernard & Martens, Andre, 1988. "CGE modeling and developing economies: A concise empirical survey of 73 applications to 26 countries," Journal of Policy Modeling, Elsevier, vol. 10(4), pages 529-568.
    9. Hicks, Norman L., 1979. "Growth vs basic needs: Is there a trade-off?," World Development, Elsevier, vol. 7(11-12), pages 985-994.
    10. Lucas, Robert Jr., 1988. "On the mechanics of economic development," Journal of Monetary Economics, Elsevier, vol. 22(1), pages 3-42, July.
    11. Willis, Robert J., 1987. "Wage determinants: A survey and reinterpretation of human capital earnings functions," Handbook of Labor Economics, in: O. Ashenfelter & R. Layard (ed.), Handbook of Labor Economics, edition 1, volume 1, chapter 10, pages 525-602, Elsevier.
    12. repec:eee:labchp:v:1:y:1986:i:c:p:525-602 is not listed on IDEAS
    13. Michael Grossman, 1972. "The Demand for Health: A Theoretical and Empirical Investigation," NBER Books, National Bureau of Economic Research, Inc, number gros72-1.
    14. Deolalikar, Anil B, 1988. "Nutrition and Labor Productivity in Agriculture: Estimates for Rural South India," The Review of Economics and Statistics, MIT Press, vol. 70(3), pages 406-413, August.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Thomas M. Steger, 2000. "Productive Consumption and Growth in Developing Countries," Review of Development Economics, Wiley Blackwell, vol. 4(3), pages 365-375, October.
    2. Gong, Liutang & Li, Hongyi & Wang, Dihai, 2012. "Health investment, physical capital accumulation, and economic growth," China Economic Review, Elsevier, vol. 23(4), pages 1104-1119.
    3. Tansel, Aysit & Öztürk, Ceyhan & Erdil, Erkan, 2021. "The Impact of Body Mass Index on Growth, Schooling, Productivity, and Savings: A Cross-Country Study," GLO Discussion Paper Series 929, Global Labor Organization (GLO).
    4. Konstantinos Chatzimichael & Margarita Genius & Vangelis Tzouvelekas, 2015. "Health-Damaging Inputs, Workers' Health Status and Productivity Measurement," Working Papers 1505, University of Crete, Department of Economics.
    5. Olivier Morand, 2004. "Economic growth, longevity and the epidemiological transition," The European Journal of Health Economics, Springer;Deutsche Gesellschaft für Gesundheitsökonomie (DGGÖ), vol. 5(2), pages 166-174, May.
    6. Suri, Tavneet & Boozer, Michael A. & Ranis, Gustav & Stewart, Frances, 2011. "Paths to Success: The Relationship Between Human Development and Economic Growth," World Development, Elsevier, vol. 39(4), pages 506-522, April.
    7. Stephen Knowles & P. Dorian Owen, 1997. "Education and Health in an Effective‐Labour Empirical Growth Model," The Economic Record, The Economic Society of Australia, vol. 73(223), pages 314-328, December.
    8. Xiangcai Meng & Azhong Ye, 2009. "Human Capital Externality, Knowledge Spillover, and Sustainable Economic Growth," Annals of Economics and Finance, Society for AEF, vol. 10(1), pages 155-198, May.
    9. Dihai Wang & Heng-fu Zou, 2011. "The Fogel Approach to Health and Growth," CEMA Working Papers 520, China Economics and Management Academy, Central University of Finance and Economics.
    10. Konstantinos Chatzimichael & Margarita Genius & Vangelis Tzouvelekas, 2017. "Health-Damaging Inputs, Workers Health Status and Productivity Measurement," Working Papers 1701, University of Crete, Department of Economics.
    11. Awolusi D. Olawumi, 2019. "Human Capital Development and Economic Growth in BRICS Countries: Controlling for Country Differences," Journal of Economics and Behavioral Studies, AMH International, vol. 11(4), pages 1-17.
    12. Cecilia García-Peñalosa, 2010. "Income distribution, economic growth and European integration," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 8(3), pages 277-292, September.
    13. Lili Zheng & Yuan Lu, 2020. "Health Human Capital Investment and Economic Growth," Technium Social Sciences Journal, Technium Science, vol. 8(1), pages 229-248, June.
    14. Liutang Gong & Hongyi Li & Dihai Wang & Heng-fu Zou, 2010. "Health, Taxes, and Growth," Annals of Economics and Finance, Society for AEF, vol. 11(1), pages 73-94, May.
    15. Ehrlich, Isaac & Lui, Francis, 1997. "The problem of population and growth: A review of the literature from Malthus to contemporary models of endogenous population and endogenous growth," Journal of Economic Dynamics and Control, Elsevier, vol. 21(1), pages 205-242, January.
    16. Zafar Iqbal & Ghulam Mustafa Zahid, 1998. "Macroeconomic Determinants of Economic Growth in Pakistan," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 37(2), pages 125-148.
    17. Konstantinos Chatzimichael & Margarita Genius & Vangelis Tzouvelekas, 2015. "Health-Damaging Inputs, Workers' Health Status and Productivity Measurement," Working Papers 1504, University of Crete, Department of Economics.
    18. Khaled Elmawazini & Pranlal Manga & Sonny Nwankwo & Bader AlNaser, 2019. "Health gap between developed and developing countries: Does globalization matter?," Economic Change and Restructuring, Springer, vol. 52(2), pages 123-138, May.
    19. Alper Aslan & Angeliki Menegaki & Can Tugcu, 2016. "Health and economic growth in high-income countries revisited: evidence from an augmented production function for the period 1980–2009," Quality & Quantity: International Journal of Methodology, Springer, vol. 50(2), pages 937-953, March.
    20. Rao, B. Bhaskara, 2010. "Estimates of the steady state growth rates for selected Asian countries with an extended Solow model," Economic Modelling, Elsevier, vol. 27(1), pages 46-53, January.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ris:actuec:v:74:y:1998:i:3:p:523-560. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Benoit Dostie (email available below). General contact details of provider: https://edirc.repec.org/data/scseeea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.