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Economic Development, Risky Sexual Behavior, and AIDS Epidemics¡ªTheory and Evidence

Xue Qiao (), Xiaohan Zhong and Sin Sung ()
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Sin Sung: School of Economics and Management, Tsinghua University, Beijing 100084, China

Frontiers of Economics in China, 2012, vol. 7, issue 3, 407-433

Abstract: In this paper, we present a simple theoretical model to investigate how economic development affects AIDS epidemics through its influence on individuals¡¯ sexual behavior, building on the literature on economic growth with endogenous mortality concern. We employ provincial data from China on the incidence rate of AIDS between 2002 and 2008 to test the theoretical predictions. The findings are: (1) a rise in personal income/wealth induces more safe sexual activities and reduces the prevalence of AIDS; and (2) increases in public health expenditure do not have a significant positive impact on individuals¡¯ preference of risky sexual activity over safe sexual activity.

Keywords: economic development; risky sexual behavior; AIDS epidemics (search for similar items in EconPapers)
JEL-codes: H51 I15 O12 (search for similar items in EconPapers)
Date: 2012
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