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Health and Growth: Causality through Education

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  • Huang, Rui
  • Fulginiti, Lilyan E.
  • Peterson, E. Wesley F.

Abstract

A three-period overlapping-generations model is developed to investigate the impact on human capital investment decisions and income growth of lowered life expectancy as a result of diseases such as HIV/AIDS. We show that an increased probability of premature death leads to less investment in human capital, and consequently slower growth. We also empirically investigate the effect of HIV/AIDS on life expectancy in Sub-Saharan Africa and the role of health in the level of educational investments and growth for a broader set of countries. The empirical results show that HIV/AIDS has resulted in a substantial decline in life expectancy in African countries and falling life expectancies are indeed associated with lower educational attainment and slower economic growth world wide.

Suggested Citation

  • Huang, Rui & Fulginiti, Lilyan E. & Peterson, E. Wesley F., 2009. "Health and Growth: Causality through Education," 2009 Conference, August 16-22, 2009, Beijing, China 51735, International Association of Agricultural Economists.
    • Handle: RePEc:ags:iaae09:51735
    DOI: 10.22004/ag.econ.51735
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    1. Simplice Asongu & Nicholas M. Odhiambo, 2023. "Health performance and economic growth in sub-Saharan Africa: new evidence based on quantile regressions," International Journal of Social Economics, Emerald Group Publishing Limited, vol. 50(12), pages 1655-1671, May.
    2. Haruna Modibbo Usman & Mustapha Muktar & Nasiru Inuwa, 2015. "Health Outcomes and Economic Growth Nexus: Testing for Long Run Relationship and Causal Links in Nigeria," International Journal of Economics and Empirical Research (IJEER), The Economics and Social Development Organization (TESDO), vol. 3(4), pages 176-183, April.
    3. Moraes, Ricardo Kalil & Wanke, Peter Fernandes & Faria, João Ricardo, 2021. "Unveiling the endogeneity between social-welfare and labor efficiency: Two-stage NDEA neural network approach," Socio-Economic Planning Sciences, Elsevier, vol. 77(C).
    4. Christian Jeremy Siahaan & Mohammad Kemal Taufiqurahman & Barata Andrianto & Muhammad Nur Iman, 2020. "Unequal Economic Growth Between Regions in Indonesia: Hard Infrastructure or Soft Infrastructure?," International Journal of Business and Administrative Studies, Professor Dr. Bahaudin G. Mujtaba, vol. 6(2), pages 97-110.
    5. Essosinam Franck Karabou & Komlan Ametowoyo Adeve & Kossi Atsutsè Dziédzom Tsomdzo, 2021. "Dépenses publiques de santé, état de santé et croissance en Afrique Subsaharienne: Cas de l'Afrique de l'Est et de l'Ouest," African Development Review, African Development Bank, vol. 33(2), pages 397-407, June.
    6. E. Wesley F. Peterson, 2017. "Is Economic Inequality Really a Problem? A Review of the Arguments," Social Sciences, MDPI, vol. 6(4), pages 1-25, December.

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