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Financial Crisis, Health Outcomes, and Aging: Mexico in the 1980s and 1990s

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  • Mendez, Oscar
  • Cutler, David
  • Knaul, Felicia
  • Lozano, Rafael
  • Zurita, Beatriz

Abstract

We study the impact of economic crisis on health in Mexico. There have been four wide-scale economic crises in Mexico in the past two decades, the most recent in 1995–96. We find that mortality rates for the very young and the elderly increase or decline less rapidly in crisis years as compared with non-crisis years. In the 1995–96 crisis, mortality rates were about 5 to 7 percent higher in the crisis years compared to the years just prior to the crisis. This translates into a 0.4 percent increase in mortality for the elderly and a 0.06 percent increase in mortality for the very young. We find tentative evidence that economic crises affect mortality by reducing incomes and possibly by placing a greater burden on the medical sector, but not by forcing less healthy members of the population to work or by forcing primary caregivers to go to work.

Suggested Citation

  • Mendez, Oscar & Cutler, David & Knaul, Felicia & Lozano, Rafael & Zurita, Beatriz, 2002. "Financial Crisis, Health Outcomes, and Aging: Mexico in the 1980s and 1990s," Scholarly Articles 2707939, Harvard University Department of Economics.
  • Handle: RePEc:hrv:faseco:2707939
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    Cited by:

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    2. Denis Cogneau & Rémi Jedwab, 2012. "Commodity Price Shocks and Child Outcomes: The 1990 Cocoa Crisis in Côte d'Ivoire," Economic Development and Cultural Change, University of Chicago Press, vol. 60(3), pages 507-534.
    3. Ainhoa Aparicio & Libertad González Luna, 2013. "Newborn health and the business cycle: Is it good to be born in bad times?," Economics Working Papers 1374, Department of Economics and Business, Universitat Pompeu Fabra, revised Mar 2014.
    4. Bharadwaj, Prashant & Fenske, James & Kala, Namrata & Mirza, Rinchan Ali, 2020. "The Green revolution and infant mortality in India," Journal of Health Economics, Elsevier, vol. 71(C).
    5. Gonzalez, Fidel & Quast, Troy, 2010. "Mortality and business cycles by level of development: Evidence from Mexico," Social Science & Medicine, Elsevier, vol. 71(12), pages 2066-2073, December.
    6. Herzfeld, Thomas & Huffman, Sonya & Rizov, Marian, 2014. "The dynamics of food, alcohol and cigarette consumption in Russia during transition," EconStor Open Access Articles, ZBW - Leibniz Information Centre for Economics, pages 128-143.
    7. Nikoloski, Zlatko & Ajwad, Mohamed Ihsan, 2013. "Do economic crises lead to health and nutrition behavior responses ? analysis using longitudinal data from Russia," Policy Research Working Paper Series 6538, The World Bank.
    8. Maren M. Michaelsen & Songül Tolan, 2012. "Children at Risk: The Effect of Crop Loss on Child Health in Rural Mexico," Ruhr Economic Papers 0376, Rheinisch-Westfälisches Institut für Wirtschaftsforschung, Ruhr-Universität Bochum, Universität Dortmund, Universität Duisburg-Essen.
    9. Fidel Gonzalez & Troy Quast, 2009. "Does the Relationship Between Mortality and the Business Cycle Vary by the Level of Economic Development? Evidence from Mexico," Working Papers 0908, Sam Houston State University, Department of Economics and International Business.
    10. Fidel Gonzalez & Troy Quast, 2011. "Macroeconomic changes and mortality in Mexico," Empirical Economics, Springer, vol. 40(2), pages 305-319, April.
    11. van den Berg, Gerard J. & Paul, Alexander & Reinhold, Steffen, 2018. "Economic Conditions, Parental Employment and Health of Newborns," IZA Discussion Papers 11338, Institute of Labor Economics (IZA).
    12. Daniel Treisman, 2010. "Death and prices," The Economics of Transition, The European Bank for Reconstruction and Development, vol. 18(2), pages 281-331, April.
    13. Valero-Gil, Jorge & Valero, Magali, 2018. "Calories and poverty during a prolonged crisis," Food Policy, Elsevier, vol. 76(C), pages 56-69.
    14. Borowy, Iris, 2011. "Similar but different: Health and economic crisis in 1990s Cuba and Russia," Social Science & Medicine, Elsevier, vol. 72(9), pages 1489-1498, May.
    15. Grant Miller & B. Piedad Urdinola, 2010. "Cyclicality, Mortality, and the Value of Time: The Case of Coffee Price Fluctuations and Child Survival in Colombia," Journal of Political Economy, University of Chicago Press, vol. 118(1), pages 113-155, February.
    16. Pierre-Emmanuel Darpeix, 2019. "Literature review on the consequences of food price spikes and price volatility," PSE Working Papers hal-02072329, HAL.
    17. Sheng-Ti Hung & Hui He, 2011. "Are Recessions Good for Your Health? A Macroeconomic Analysis," 2011 Meeting Papers 1178, Society for Economic Dynamics.
    18. repec:dau:papers:123456789/10603 is not listed on IDEAS
    19. Quast, Troy & Gonzalez, Fidel, 2014. "Economic cycles and heart disease in Mexico," Social Science & Medicine, Elsevier, vol. 109(C), pages 19-25.
    20. Pierre-Emmanuel Darpeix, 2019. "Literature review on the consequences of food price spikes and price volatility," Working Papers hal-02072329, HAL.
    21. Rosales-Rueda, Maria, 2018. "The impact of early life shocks on human capital formation: evidence from El Niño floods in Ecuador," Journal of Health Economics, Elsevier, vol. 62(C), pages 13-44.
    22. repec:zbw:rwirep:0376 is not listed on IDEAS

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