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The Indirect Impact of Antiretroviral Therapy: Mortality Risk, Mental Health, and HIV-Negative Labor Supply

Listed author(s):
  • Victoria Baranov

    ()

    (Department of Economics, University of Melbourne)

  • Daniel Bennett

    ()

    (University of Chicago)

  • Hans-Peter Kohler

    ()

    (University of Pennsylvania)

Registered author(s):

    To reduce the burden of the HIV/AIDS epidemic, international donors recently began providing free antiretroviral therapy (ART) in parts of Sub-Saharan Africa. ART dramatically prolongs life and reduces infectiousness for people with HIV. This paper shows that ART availability increases work time for HIV-negative people without caretaker obligations, who do not directly bene t from the medicine. A difference-in-difference design compares people living near and far from ART, before and after treatment becomes available. We explore the possible reasons for this pattern and find that ART availability substantially reduces subjective mortality risk and improves mental health. These results show an undocumented economic consequence of the HIV/AIDS epidemic and an important externality of medical innovation. They also provide the first evidence of a link between the disease environment and mental health.

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    File URL: http://fbe.unimelb.edu.au/__data/assets/pdf_file/0005/1437908/2002VBaranovMortRisk.pdf
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    Paper provided by The University of Melbourne in its series Department of Economics - Working Papers Series with number 2002.

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    Length: 63 pages
    Date of creation: Jan 2015
    Handle: RePEc:mlb:wpaper:2002
    Contact details of provider: Postal:
    Department of Economics, The University of Melbourne, 4th Floor, FBE Building, Level 4, 111 Barry Street. Victoria, 3010, Australia

    Phone: +61 3 8344 8560
    Fax: +61 3 8344 6899
    Web page: http://fbe.unimelb.edu.au/economics
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