The Spending Responses to Adverse Health Shocks: Evidence from a Panel of Colombian Households

Darwin Cortés, Andrés Gallegos and Jorge Pérez Pérez

No vh2qa, SocArXiv from Center for Open Science

Abstract: We analyze the effect of adverse health shocks on households' different expenditure shares using a difference in differences approach. We find that households engage in substitution between health and food spending in response to the negative health shocks. We find substantial heterogeneity in this trade-off between current and future health mediated by access to social protection, job contract type, and location (urban-rural). Households from rural areas, with heads holding informal jobs, and without access to safety nets, are more vulnerable than others. We discuss several policy implications.

Date: 2021-01-19
New Economics Papers: this item is included in nep-dev and nep-hea
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Citations: View citations in EconPapers (2)

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Related works:
Working Paper: Expenditure Responses to Adverse Health Shocks: Evidence from a Panel of Colombian Households (2023)
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Persistent link: https://EconPapers.repec.org/RePEc:osf:socarx:vh2qa

DOI: 10.31219/osf.io/vh2qa

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