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Household responses to health risks and shocks: A study from rural Tanzania raises some methodological issues

Author

Listed:
  • Masha F. Somi

    (Australian Centre for Economic Research on Health, Australian National University, Australia)

  • James R. G. Butler

    (Australian Centre for Economic Research on Health, Australian National University, Australia)

  • Farshid Vahid

    (School of Economics, Australian National University, Australia)

  • Joseph D. Njau

    (Ifakara Health Research and Development Centre, Dar es Salaam, Tanzania)

  • Salim Abdulla

    (Ifakara Health Research and Development Centre, Dar es Salaam, Tanzania)

Abstract

The impact of a health shock (malaria) on household consumption patterns is investigated using a system of demand equations. After controlling for the overall levels of total expenditure by a household, the presence of a self-reported malarious individual in a household reduces consumption of luxury items and increases consumption of health care and products. Our results are compatible with the hypothesis that households behave strategically when coping with an illness related shock so as to minimise its impact on expenditure on necessities: if households need to re-allocate funds to health and health care products, they reduce consumption of luxury items. Copyright © 2009 John Wiley & Sons, Ltd.

Suggested Citation

  • Masha F. Somi & James R. G. Butler & Farshid Vahid & Joseph D. Njau & Salim Abdulla, 2009. "Household responses to health risks and shocks: A study from rural Tanzania raises some methodological issues," Journal of International Development, John Wiley & Sons, Ltd., vol. 21(2), pages 200-211.
  • Handle: RePEc:wly:jintdv:v:21:y:2009:i:2:p:200-211
    DOI: 10.1002/jid.1555
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    References listed on IDEAS

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    1. Angus Deaton & Salman Zaidi, 2002. "Guidelines for Constructing Consumption Aggregates for Welfare Analysis," World Bank Publications, The World Bank, number 14101.
    2. Nyamongo, I. K., 2002. "Health care switching behaviour of malaria patients in a Kenyan rural community," Social Science & Medicine, Elsevier, vol. 54(3), pages 377-386, February.
    3. Corbett, Jane, 1988. "Famine and household coping strategies," World Development, Elsevier, vol. 16(9), pages 1099-1112, September.
    4. Litvack, Jennie I. & Bodart, Claude, 1993. "User fees plus quality equals improved access to health care: Results of a field experiment in Cameroon," Social Science & Medicine, Elsevier, vol. 37(3), pages 369-383, August.
    5. Chima, Reginald Ikechukwu & Goodman, Catherine A. & Mills, Anne, 2003. "The economic impact of malaria in Africa: a critical review of the evidence," Health Policy, Elsevier, vol. 63(1), pages 17-36, January.
    6. Sauerborn, R. & Adams, A. & Hien, M., 1996. "Household strategies to cope with the economic costs of illness," Social Science & Medicine, Elsevier, vol. 43(3), pages 291-301, August.
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    Cited by:

    1. repec:eee:socmed:v:195:y:2017:i:c:p:68-76 is not listed on IDEAS
    2. sowmya, 2015. "Health Shocks and Short-Term Consumption GrowthAuthor-Name: Sowmya Dhanaraj," Working Papers 2015-112, Madras School of Economics,Chennai,India.
    3. Jacob Novignon & Solomon Olakojo & Justice Nonvignon, 2012. "The effects of public and private health care expenditure on health status in sub-Saharan Africa: new evidence from panel data analysis," Health Economics Review, Springer, vol. 2(1), pages 1-8, December.
    4. Manoj K. Pandey, 2013. "Elderly's Health Shocks and Household's Ex-ante Poverty in India," ASARC Working Papers 2013-01, The Australian National University, Australia South Asia Research Centre.
    5. repec:spr:qualqt:v:51:y:2017:i:6:d:10.1007_s11135-016-0404-4 is not listed on IDEAS
    6. Taha Zaghdoudi & Abdelaziz Hakimi, 2017. "Does external debt- poverty relationship confirm the debtoverhang hypothesis for developing counties?," Economics Bulletin, AccessEcon, vol. 37(2), pages 653-665.

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