Investing in Hope: AIDS, Life Expectancy, and Human Capital Accumulation

Rui Huang, Lilyan E. Fulginiti and E. Wesley F. Peterson

No 413419, Staff Papers from University of Nebraska-Lincoln, Department of Agricultural Economics

Abstract: A three period overlapping generations model is developed to investigate the impact of shorter life expectancy due to disease, on human capital investment decisions and income growth. This research is particularly relevant to Sub-Saharan Africa given the dramatic reduction in life expectancy due to HIV/AIDS and the potential lasting effects on growth. Our results indicate that as life expectancy shortens so does schooling inducing a lower growth rate of income. These relationships are even more pronounced for the African continent than for the rest of the world.

Keywords: Health; Economics; and; Policy (search for similar items in EconPapers)
Date: 2003
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Persistent link: https://EconPapers.repec.org/RePEc:ags:nbaesp:413419

DOI: 10.22004/ag.econ.413419

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