IDEAS home Printed from https://ideas.repec.org/a/sae/mareco/v7y2013i4p443-474.html
   My bibliography  Save this article

Life Expectancy and Economic Well-being: A Within-country Regional-level Analysis Using the Micro-data of Bangladesh

Author

Listed:
  • Muhammad Jami Husain

    (Muhammad Jami Husain is at Keele Management School, Keele University, Staffordshire, United Kingdom, e-mails: m.j.husain@keele.ac.uk and ecojami@gmail.com)

Abstract

A frequent empirical approach toward examining the impact of health on economic growth has been to focus on data for a cross-section of countries and to regress the income indicator on the health indicator controlling for the initial level of income and for other factors believed to influence steady-state income levels. From the methodological perspective, such a growth regression approach has mainly offered evidence for the relationship between health and income, using cross-country macro-level data. This article contributes to existing empirical research by introducing within-country regional-level analysis using three rounds of the Demographic and Health Surveys of Bangladesh, combined with corresponding geo-referenced global positioning system (GPS) data, to estimate the contribution of life expectancy to economic well-being. The joint evolution of the regional-level longevity and wealth indicator obtained from the micro-data corroborates Preston’s cross-country macro-level findings. Also, the finding that a 1 per cent increase in life expectancy leads to about 3 per cent increase in the wealth index corroborates the findings of several macro-regression studies and promotes the concept of direct investments in health. JEL Classification: I10, O40, R10

Suggested Citation

  • Muhammad Jami Husain, 2013. "Life Expectancy and Economic Well-being: A Within-country Regional-level Analysis Using the Micro-data of Bangladesh," Margin: The Journal of Applied Economic Research, National Council of Applied Economic Research, vol. 7(4), pages 443-474, November.
  • Handle: RePEc:sae:mareco:v:7:y:2013:i:4:p:443-474
    DOI: 10.1177/0973801013500133
    as

    Download full text from publisher

    File URL: https://journals.sagepub.com/doi/10.1177/0973801013500133
    Download Restriction: no

    File URL: https://libkey.io/10.1177/0973801013500133?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Booysen, Frikkie & van der Berg, Servaas & Burger, Ronelle & Maltitz, Michael von & Rand, Gideon du, 2008. "Using an Asset Index to Assess Trends in Poverty in Seven Sub-Saharan African Countries," World Development, Elsevier, vol. 36(6), pages 1113-1130, June.
    2. Alok Bhargava & Dean T. Jamison & Lawrence J. Lau & Christopher J. L. Murray, 2006. "Modeling the effects of health on economic growth," World Scientific Book Chapters, in: Econometrics, Statistics And Computational Approaches In Food And Health Sciences, chapter 20, pages 269-286, World Scientific Publishing Co. Pte. Ltd..
    3. Daron Acemoglu & Simon Johnson, 2007. "Disease and Development: The Effect of Life Expectancy on Economic Growth," Journal of Political Economy, University of Chicago Press, vol. 115(6), pages 925-985, December.
    4. Muhammad Jami Husain, 2012. "Alternative Estimates of the Effect of the Increase of Life Expectancy on Economic Growth," Economics Bulletin, AccessEcon, vol. 32(4), pages 3025-3035.
    5. Amar A. Hamoudi & Jeffrey D. Sachs, 1999. "Economic Consequences of Health Status: A Review of the Evidence," CID Working Papers 30, Center for International Development at Harvard University.
    6. Bloom, David E & Williamson, Jeffrey G, 1998. "Demographic Transitions and Economic Miracles in Emerging Asia," The World Bank Economic Review, World Bank, vol. 12(3), pages 419-455, September.
    7. David E. Bloom & Jeffrey D. Sachs, 1998. "Geography, Demography, and Economic Growth in Africa," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 29(2), pages 207-296.
    8. Owen O'Donnell & Eddy van Doorslaer & Adam Wagstaff & Magnus Lindelow, 2008. "Analyzing Health Equity Using Household Survey Data : A Guide to Techniques and Their Implementation," World Bank Publications - Books, The World Bank Group, number 6896, December.
    9. Amar A Hamoudi & Jeffrey D. Sachs, 1999. "Economic Consequences of Health Status: A Review of the Evidence," CID Working Papers 30A, Center for International Development at Harvard University.
    10. Sahn, David E. & Stifel, David C., 2000. "Poverty Comparisons Over Time and Across Countries in Africa," World Development, Elsevier, vol. 28(12), pages 2123-2155, December.
    11. Barro, Robert J. & Lee, Jong-Wha, 1994. "Sources of economic growth," Carnegie-Rochester Conference Series on Public Policy, Elsevier, vol. 40(1), pages 1-46, June.
    12. Deon Filmer & Lant Pritchett, 2001. "Estimating Wealth Effects Without Expenditure Data—Or Tears: An Application To Educational Enrollments In States Of India," Demography, Springer;Population Association of America (PAA), vol. 38(1), pages 115-132, February.
    13. Stephen Drinkwater & Paul Levine & Emanuela Lotti & Joseph Pearlman, 2003. "The Economic Impact of Migration: A Survey," School of Economics Discussion Papers 0103, School of Economics, University of Surrey.
    14. Caselli, Francesco & Esquivel, Gerardo & Lefort, Fernando, 1996. "Reopening the Convergence Debate: A New Look at Cross-Country Growth Empirics," Journal of Economic Growth, Springer, vol. 1(3), pages 363-389, September.
    15. Cortinovis, I. & Vella, V. & Ndiku, J., 1993. "Construction of a socio-economic index to facilitate analysis of health data in developing countries," Social Science & Medicine, Elsevier, vol. 36(8), pages 1087-1097, April.
    16. Mark Montgomery & Michele Gragnolati & Kathleen Burke & Edmundo Paredes, 2000. "Measuring living standards with proxy variables," Demography, Springer;Population Association of America (PAA), vol. 37(2), pages 155-174, May.
    17. Sahn, David E. & Stifel, David C., 2003. "Progress Toward the Millennium Development Goals in Africa," World Development, Elsevier, vol. 31(1), pages 23-52, January.
    18. John Luke Gallup & Jeffrey D. Sachs, 2000. "The Economic Burden of Malaria," CID Working Papers 52A, Center for International Development at Harvard University.
    19. John Luke Gallup & Jeffrey D. Sachs, 2000. "The Economic Burden of Malaria," CID Working Papers 52, Center for International Development at Harvard University.
    20. Rowland, Donald T., 2003. "Demographic Methods and Concepts," OUP Catalogue, Oxford University Press, number 9780198752639.
    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. Husain, Muhammad Jami, 2010. "Contribution of health to economic development: A survey and overview," Economics - The Open-Access, Open-Assessment E-Journal (2007-2020), Kiel Institute for the World Economy (IfW Kiel), vol. 4, pages 1-52.
    2. Husain, Muhammad Jami, 2009. "Contribution of health to economic development: a survey and overview," Economics Discussion Papers 2009-40, Kiel Institute for the World Economy (IfW Kiel).
    3. Masagus M. Ridhwan & Peter Nijkamp & Affandi Ismail & Luthfi M.Irsyad, 2022. "The effect of health on economic growth: a meta-regression analysis," Empirical Economics, Springer, vol. 63(6), pages 3211-3251, December.
    4. Bloom, David E. & Canning, David & Sevilla, Jaypee, 2004. "The Effect of Health on Economic Growth: A Production Function Approach," World Development, Elsevier, vol. 32(1), pages 1-13, January.
    5. Martine AUDIBERT & Pascale COMBES MOTEL & Alassane DRABO, 2010. "Global Burden of Disease and Economic Growth," Working Papers 201036, CERDI.
    6. Gazi Hassan & Arusha Cooray & Mark Holmes, 2017. "The effect of female and male health on economic growth: cross-country evidence within a production function framework," Empirical Economics, Springer, vol. 52(2), pages 659-689, March.
    7. Bloom, David E. & Canning, David & Kotschy, Rainer & Prettner, Klaus & Schünemann, Johannes, 2018. "Health and Economic Growth: Reconciling the Micro and Macro Evidence," IZA Discussion Papers 11940, Institute of Labor Economics (IZA).
    8. Mine Yilmazer & Serkan inar, 2015. "Human Capabilities and Economic Growth: A Comparative Human Capability Index," International Journal of Economics and Financial Issues, Econjournals, vol. 5(4), pages 843-853.
    9. Janina Isabel Steinert & Lucie Dale Cluver & G. J. Melendez-Torres & Sebastian Vollmer, 2018. "One Size Fits All? The Validity of a Composite Poverty Index Across Urban and Rural Households in South Africa," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 136(1), pages 51-72, February.
    10. R Burger & S du Plessis, 2011. "Examining the Robustness of Competing Explanations of Slow Growth in African Countries," Studies in Economics and Econometrics, Taylor & Francis Journals, vol. 35(3), pages 21-47, December.
    11. Filmer,Deon P., 2002. "Fever and its treatment among the more and less poor in Sub-Saharan Africa," Policy Research Working Paper Series 2798, The World Bank.
    12. W. A. Naudé, 2004. "The effects of policy, institutions and geography on economic growth in Africa: an econometric study based on cross-section and panel data," Journal of International Development, John Wiley & Sons, Ltd., vol. 16(6), pages 821-849.
    13. Bloom, David E. & Canning, David & Hu, Linlin & Liu, Yuanli & Mahal, Ajay & Yip, Winnie, 2010. "The contribution of population health and demographic change to economic growth in China and India," Journal of Comparative Economics, Elsevier, vol. 38(1), pages 17-33, March.
    14. Luisa Natali & Marta Moratti, 2012. "Measuring Household Welfare: Short versus long consumption modules," Papers inwopa671, Innocenti Working Papers.
    15. Olufunke Alaba & Lumbwe Chola, 2014. "Socioeconomic Inequalities in Adult Obesity Prevalence in South Africa: A Decomposition Analysis," IJERPH, MDPI, vol. 11(3), pages 1-20, March.
    16. Derek D. Headey & Andrew Hodge, 2009. "The Effect of Population Growth on Economic Growth: A Meta‐Regression Analysis of the Macroeconomic Literature," Population and Development Review, The Population Council, Inc., vol. 35(2), pages 221-248, June.
    17. Neofytidou, Aliona & Fountas, Stilianos, 2020. "The impact of health on GDP: A panel data investigation," The Journal of Economic Asymmetries, Elsevier, vol. 21(C).
    18. Antonios Garas & Sophie Guthmuller & Athanasios Lapatinas, 2021. "The development of nations conditions the disease space," PLOS ONE, Public Library of Science, vol. 16(1), pages 1-35, January.
    19. Nadide Halıcı-Tülüce & İbrahim Doğan & Cüneyt Dumrul, 2016. "Is income relevant for health expenditure and economic growth nexus?," International Journal of Health Economics and Management, Springer, vol. 16(1), pages 23-49, March.
    20. José G Dias & Isabel Tiago de Oliveira, 2018. "Exploring unobserved household living conditions in multilevel choice modeling: An application to contraceptive adoption by Indian women," PLOS ONE, Public Library of Science, vol. 13(1), pages 1-17, January.

    More about this item

    Keywords

    Life Expectancy; Wealth Index; Health; Economic Well-being; Demographic and Health Survey;
    All these keywords.

    JEL classification:

    • I10 - Health, Education, and Welfare - - Health - - - General
    • O40 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - General
    • R10 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - General

    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:sae:mareco:v:7:y:2013:i:4:p:443-474. 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: SAGE Publications (email available below). General contact details of provider: http://www.ncaer.org/ .

    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.