AIDS, Economic Growth and the HIPC Initiative in Honduras

Jose Cuesta

No DP2001-79, WIDER Working Paper Series from World Institute for Development Economic Research (UNU-WIDER)

Abstract: Success of the debt-relief HIPC and poverty-reduction PRSP initiatives demands annual growth rates of 5 percent sustained for fifteen years in Honduras. However, existing evidence on the impact of AIDS on economic growth in Africa raises concern on the viability of such growth targets in Honduras, despite incidence rates in the latter trailing long behind Africa's. Hence this paper estimates the magnitude of this threat, measured as the marginal impact of projected changes in AIDS incidence over the annual growth rates of GDP for the period 2001-10.

Keywords: Public debt; Economic growth; Health; Foreign investments (search for similar items in EconPapers)
Date: 2001
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