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Unsafe Sex, AIDS, and Development

Author

Listed:
  • Bhattacharya, Joydeep
  • Bunzel, Helle
  • Qiao, Xue

Abstract

Much of Africa has been ravaged by the AIDS epidemic. There, heterosexual contact is the primary mode of transmission for the HIV virus. Even when access to condoms is good and their price low, a large fraction of young Africans continue to engage in unprotected sex. In this paper, we propose a simple two period rational model of sexual behavior that has the potential to explain why a large proportion of sexual activity in poor countries maybe unprotected. In the model economy, even when agents are perfectly cognizant of the risk involved in unsafe sexual activity, and fully internalize the effects of their own sexual behavior on their chance of catching the virus, they may rationally choose to engage in such risky behavior. Our results indicate that safe sexual practice is essentially a "normal good" and that development may be key to reducing HIV infectivity.

Suggested Citation

  • Bhattacharya, Joydeep & Bunzel, Helle & Qiao, Xue, 2007. "Unsafe Sex, AIDS, and Development," Staff General Research Papers Archive 12832, Iowa State University, Department of Economics.
    • Handle: RePEc:isu:genres:12832
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    References listed on IDEAS

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    1. Fadi Fawaz & Eric Frey & Deborah Piscitiello, 2019. "The effects of HIV mortality on saving and investment in Asia," Asian Journal of Empirical Research, Asian Economic and Social Society, vol. 9(1), pages 1-15, January.

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    • E00 - Macroeconomics and Monetary Economics - - General - - - General

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