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Goods–Time Elasticity of Substitution in Health Production

Juan Du () and Takeshi Yagihashi ()

Health Economics, 2017, vol. 26, issue 11, 1474-1478

Abstract: We examine how inputs for health production, in particular, medical care and health‐enhancing time, are combined to improve health. The estimated elasticity of substitution from a constant elasticity of substitution production function is significantly less than one for the working‐age population, rejecting the unit elasticity of substitution used in previous studies. Copyright © 2016 John Wiley & Sons, Ltd.

Date: 2017
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https://doi.org/10.1002/hec.3446

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