Accounting for the Effect of Health on Economic Growth

David Weil

DEGIT Conference Papers from DEGIT, Dynamics, Economic Growth, and International Trade

Abstract: I use microeconomic estimates of the effect of health on individual outcomes to construct macroeconomic estimates of the proximate effect of health on GDP per capita. I use a variety of methods to construct estimates of the return to health, which I combine with cross-country and historical data on several health indicators including height, adult survival, and age at menarche. My preferred estimate of the share of cross-country variance in log income per worker explained by variation in health is 22.6%, roughly the same as the share accounted for by human capital from education, and larger than the share accounted for by physical capital. I present alternative estimates ranging between 9.5% and 29.5%. My preferred estimate of the reduction in world income variance that would result from eliminating health variations among countries is 36.6%.

Pages: 59 pages JEL Classification:
Date: 2006-06
New Economics Papers: this item is included in nep-dev and nep-hea
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (19)

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Related works:
Working Paper: Accounting for the Effect of Health on Economic Growth (2005)
Working Paper: Accounting for the Effect of Health on Economic Growth (2005)
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