IDEAS home Printed from https://ideas.repec.org/a/wly/emetrp/v87y2019i4p1081-1113.html
   My bibliography  Save this article

An Equilibrium Model of the African HIV/AIDS Epidemic

Author

Listed:
  • Jeremy Greenwood
  • Philipp Kircher
  • Cezar Santos
  • Michèle Tertilt

Abstract

Twelve percent of the Malawian population is HIV infected. Eighteen percent of sexual encounters are casual. A condom is used a third of the time. To analyze the Malawian epidemic, a choice‐theoretic general equilibrium search model is constructed. In the developed framework, people select between different sexual practices while knowing the inherent risk. The calibrated model is used to study several policy interventions, namely, ART, circumcision, better condoms, and the treatment of other STDs. The efficacy of public policy depends upon the induced behavioral changes and equilibrium effects. The framework complements the insights from epidemiological studies and small‐scale field experiments.

Suggested Citation

  • Jeremy Greenwood & Philipp Kircher & Cezar Santos & Michèle Tertilt, 2019. "An Equilibrium Model of the African HIV/AIDS Epidemic," Econometrica, Econometric Society, vol. 87(4), pages 1081-1113, July.
  • Handle: RePEc:wly:emetrp:v:87:y:2019:i:4:p:1081-1113
    DOI: 10.3982/ECTA11530
    as

    Download full text from publisher

    File URL: https://doi.org/10.3982/ECTA11530
    Download Restriction: no

    File URL: https://libkey.io/10.3982/ECTA11530?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
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. Klein, Eili & Laxminarayan, Ramanan & Smith, David L. & Gilligan, Christopher A., 2007. "Economic incentives and mathematical models of disease," Environment and Development Economics, Cambridge University Press, vol. 12(5), pages 707-732, October.
    2. Auld M. Christopher, 2006. "Estimating Behavioral Response to the AIDS Epidemic," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 5(1), pages 1-29, April.
    3. David Canning, 2006. "The Economics of HIV/AIDS in Low-Income Countries: The Case for Prevention," Journal of Economic Perspectives, American Economic Association, vol. 20(3), pages 121-142, Summer.
    4. Daniela Iorio & Raül Santaeulàlia-Llopis, 2011. "Education, HIV Status, and Risky Sexual Behavior: How Much Does the Stage of the HIV Epidemic Matter?," Working Papers 624, Barcelona School of Economics.
    5. Boulier, Bryan L & Rosenzweig, Mark R, 1984. "Schooling, Search, and Spouse Selection: Testing Economic Theories of Marriage and Household Behavior," Journal of Political Economy, University of Chicago Press, vol. 92(4), pages 712-732, August.
    6. Nicolas L. Jacquet & Serene Tan, 2007. "On the Segmentation of Markets," Journal of Political Economy, University of Chicago Press, vol. 115(4), pages 639-664, August.
    7. Pascaline Dupas, 2011. "Do Teenagers Respond to HIV Risk Information? Evidence from a Field Experiment in Kenya," American Economic Journal: Applied Economics, American Economic Association, vol. 3(1), pages 1-34, January.
    8. de Walque, Damien, 2007. "How does the impact of an HIV/AIDS information campaign vary with educational attainment? Evidence from rural Uganda," Journal of Development Economics, Elsevier, vol. 84(2), pages 686-714, November.
    9. Jovanovic, Boyan, 1979. "Job Matching and the Theory of Turnover," Journal of Political Economy, University of Chicago Press, vol. 87(5), pages 972-990, October.
    10. Darius Lakdawalla & Neeraj Sood & Dana Goldman, 2006. "HIV Breakthroughs and Risky Sexual Behavior," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 121(3), pages 1063-1102.
    11. Ashraf, Nava & Bandiera, Oriana & Jack, B. Kelsey, 2014. "No margin, no mission? A field experiment on incentives for public service delivery," Journal of Public Economics, Elsevier, vol. 120(C), pages 1-17.
    12. Chimbiri, Agnes M., 2007. "The condom is an 'intruder' in marriage: Evidence from rural Malawi," Social Science & Medicine, Elsevier, vol. 64(5), pages 1102-1115, March.
    13. Damien de Walque & Harounan Kazianga & Mead Over, 2012. "Antiretroviral Therapy Perceived Efficacy and Risky Sexual Behaviors: Evidence from Mozambique," Economic Development and Cultural Change, University of Chicago Press, vol. 61(1), pages 97-126.
    14. Rebecca L. Thornton, 2008. "The Demand for, and Impact of, Learning HIV Status," American Economic Review, American Economic Association, vol. 98(5), pages 1829-1863, December.
    15. Emily Oster, 2005. "Sexually Transmitted Infections, Sexual Behavior, and the HIV/AIDS Epidemic," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 120(2), pages 467-515.
    16. Weller, Susan C., 1993. "A meta-analysis of condom effectiveness in reducing sexually transmitted HIV," Social Science & Medicine, Elsevier, vol. 36(12), pages 1635-1644, June.
    17. Jeremy Magruder, 2011. "Marital Shopping and Epidemic AIDS," Demography, Springer;Population Association of America (PAA), vol. 48(4), pages 1401-1428, November.
    18. Bandiera, Oriana & Ashraf, Nava & Jack, Kelsey, 2012. "No margin, no mission? A Field Experiment on Incentives for Pro-Social Tasks," CEPR Discussion Papers 8834, C.E.P.R. Discussion Papers.
    19. Gautier, Pieter A. & Svarer, Michael & Teulings, Coen N., 2010. "Marriage and the city: Search frictions and sorting of singles," Journal of Urban Economics, Elsevier, vol. 67(2), pages 206-218, March.
    20. Adeline Delavande & Hans-Peter Kohler, 2009. "Subjective expectations in the context of HIV/AIDS in Malawi," Demographic Research, Max Planck Institute for Demographic Research, Rostock, Germany, vol. 20(31), pages 817-875.
    21. Michael Kremer, 1996. "Integrating Behavioral Choice into Epidemiological Models of AIDS," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 111(2), pages 549-573.
    22. Paul Gertler & Manisha Shah & Stefano M. Bertozzi, 2005. "Risky Business: The Market for Unprotected Commercial Sex," Journal of Political Economy, University of Chicago Press, vol. 113(3), pages 518-550, June.
    23. Jeremy Greenwood & Nezih Guner, 2010. "Social Change: The Sexual Revolution," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 51(4), pages 893-923, November.
    24. Becker, Gary S, 1973. "A Theory of Marriage: Part I," Journal of Political Economy, University of Chicago Press, vol. 81(4), pages 813-846, July-Aug..
    25. Georges Reniers, 2003. "Divorce and Remarriage in Rural Malawi," Demographic Research Special Collections, Max Planck Institute for Demographic Research, Rostock, Germany, vol. 1(6), pages 175-206.
    26. Jeremy Greenwood & Philipp Kircher & Cezar Santos & Michèle Tertilt, 2017. "The Role of Marriage in Fighting HIV: A Quantitative Illustration for Malawi," American Economic Review, American Economic Association, vol. 107(5), pages 158-162, May.
    27. Alwyn Young, 2005. "The Gift of the Dying: The Tragedy of AIDS and the Welfare of Future African Generations," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 120(2), pages 423-466.
    28. Toxvaerd, Flavio, 2010. "Recurrent Infection and Externalities in Prevention," CEPR Discussion Papers 8112, C.E.P.R. Discussion Papers.
    29. Poulin, Michelle, 2007. "Sex, money, and premarital partnerships in southern Malawi," Social Science & Medicine, Elsevier, vol. 65(11), pages 2383-2393, December.
    30. Michael Kremer, 1996. "Integrating Behavioral Choice into Epidemiological Models of the AIDS Epidemic," NBER Working Papers 5428, National Bureau of Economic Research, Inc.
    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. Yao Yao, 2022. "Fertility and HIV Risk in Africa," Review of Economic Dynamics, Elsevier for the Society for Economic Dynamics, vol. 45, pages 109-133, July.
    2. Yao Yao, 2022. "Fertility and HIV Risk in Africa," Review of Economic Dynamics, Elsevier for the Society for Economic Dynamics, vol. 45, pages 109-133, July.
    3. Wilson, Nicholas, 2016. "Antiretroviral therapy and demand for HIV testing: Evidence from Zambia," Economics & Human Biology, Elsevier, vol. 21(C), pages 221-240.
    4. Bertocchi, Graziella & Dimico, Arcangelo, 2019. "The long-term determinants of female HIV infection in Africa: The slave trade, polygyny, and sexual behavior," Journal of Development Economics, Elsevier, vol. 140(C), pages 90-105.
    5. Friedman, Willa Helterline, 2018. "Antiretroviral drug access and behavior change," Journal of Development Economics, Elsevier, vol. 135(C), pages 392-411.
    6. Yao, Yao, 2016. "Fertility and HIV risk in Africa," Working Paper Series 19501, Victoria University of Wellington, School of Economics and Finance.
    7. Aureo de Paula & Gil Shapira & Petra E. Todd, 2008. "How Beliefs about HIV Status Affect Risky Behaviors: Evidence from Malawi, Fifth Version," PIER Working Paper Archive 10-023, Penn Institute for Economic Research, Department of Economics, University of Pennsylvania, revised 10 Jul 2010.
    8. Jérôme Adda, 2016. "Economic Activity and the Spread of Viral Diseases: Evidence from High Frequency Data," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 131(2), pages 891-941.
    9. Esther Duflo & Pascaline Dupas & Michael Kremer, 2015. "Education, HIV, and Early Fertility: Experimental Evidence from Kenya," American Economic Review, American Economic Association, vol. 105(9), pages 2757-2797, September.
    10. Gani Aldashev & Jean-Marie Baland, 2012. "Awareness and AIDS: A Political Economy Perspective," Working Papers 1204, University of Namur, Department of Economics.
    11. Marshall Burke & Erick Gong & Kelly Jones, 2015. "Income Shocks and HIV in Africa," Economic Journal, Royal Economic Society, vol. 125(585), pages 1157-1189, June.
    12. Chinhui Juhn & Sebnem Kalemli-Ozcan & Belgi Turan, 2013. "HIV and fertility in Africa: first evidence from population-based surveys," Journal of Population Economics, Springer;European Society for Population Economics, vol. 26(3), pages 835-853, July.
    13. Cassidy, Rachel & Groot Bruinderink, Marije & Janssens, Wendy & Morsink, Karlijn, 2021. "The power to protect: Household bargaining and female condom use," Journal of Development Economics, Elsevier, vol. 153(C).
    14. Sebnem Kalemli-Ozcan, 2012. "AIDS, “reversal” of the demographic transition and economic development: evidence from Africa," Journal of Population Economics, Springer;European Society for Population Economics, vol. 25(3), pages 871-897, July.
    15. Heinsalu, Sander, 2021. "Promotion of (interaction) abstinence increases infection prevalence," Journal of Economic Behavior & Organization, Elsevier, vol. 186(C), pages 94-112.
    16. Jeremy Magruder, 2011. "Marital Shopping and Epidemic AIDS," Demography, Springer;Population Association of America (PAA), vol. 48(4), pages 1401-1428, November.
    17. Manuela Angelucci & Daniel Bennett, 2021. "Adverse Selection in the Marriage Market: HIV Testing and Marriage in Rural Malawi [Marrying Up: The Role of Sex Ratio in Assortative Matching]," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 88(5), pages 2119-2148.
    18. Francis, Andrew M., 2008. "The economics of sexuality: The effect of HIV/AIDS on homosexual behavior in the United States," Journal of Health Economics, Elsevier, vol. 27(3), pages 675-689, May.
    19. Derksen, Laura & Muula, Adamson & van Oosterhout, Joep, 2022. "Love in the time of HIV: How beliefs about externalities impact health behavior," Journal of Development Economics, Elsevier, vol. 159(C).
    20. Yakubenko, Slava, 2021. "Home alone? Effect of weather-induced behaviour on spread of SARS-CoV-2 in Germany," Economics & Human Biology, Elsevier, vol. 42(C).

    More about this item

    JEL classification:

    • I18 - Health, Education, and Welfare - - Health - - - Government Policy; Regulation; Public Health
    • J12 - Labor and Demographic Economics - - Demographic Economics - - - Marriage; Marital Dissolution; Family Structure
    • O11 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Macroeconomic Analyses of Economic Development
    • O55 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Africa

    Lists

    This item is featured on the following reading lists, Wikipedia, or ReplicationWiki pages:
    1. An Equilibrium Model of the African HIV/AIDS Epidemic (ECTA 2019) in ReplicationWiki

    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:wly:emetrp:v:87:y:2019:i:4:p:1081-1113. 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: Wiley Content Delivery (email available below). General contact details of provider: https://edirc.repec.org/data/essssea.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.