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Recessions are not good for your health: the counter-cyclical health outcomes revisited

Author

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  • Asali , Muhammad

    (International School of Economics, Georgia, IZA, Germany)

Abstract

The net, positive, effect of unemployment at conception on birth outcomes in developed countries is likely overestimated in the literature. This is the consequence of ignoring the effects of unemployment during pregnancy. Using data from Israel, we not only confirm this finding but also find that the harmful effects of unemployment in the third trimester are large enough to offset any preceding positive effects. Stress and nutritional deficiencies due to economic contractions during pregnancy are at least as important as the positive self-selection at conception. This finding calls for policy intervention to support pregnant women even in developed countries.

Suggested Citation

  • Asali , Muhammad, 2015. "Recessions are not good for your health: the counter-cyclical health outcomes revisited," European Economic Letters, European Economics Letters Group, vol. 4(1), pages 11-14.
    • Handle: RePEc:ris:eueclt:0034
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    References listed on IDEAS

    as
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    More about this item

    Keywords

    recession; health outcomes; birth weight; developed countries;
    All these keywords.

    JEL classification:

    • E24 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Employment; Unemployment; Wages; Intergenerational Income Distribution; Aggregate Human Capital; Aggregate Labor Productivity
    • E32 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Business Fluctuations; Cycles
    • I12 - Health, Education, and Welfare - - Health - - - Health Behavior

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