Title: The economic impact of disease on human resources: a cross-country study

Authors: Juan J. DelaCruz

Addresses: Department of Economics and Business, Lehman College - The City University of New York, Bronx, NY 10468, USA

Abstract: Health status has played an important role in recent developments of the economic literature. The two-way relationship between health and economic performance has a mechanism of transmission that is explained by their impact on labour productivity (human resources) and potential output. This paper reviews the literature on growth theory, analyses the importance of human capital and portrays the role of health as a determinant of economic performance. This survey also introduces the impact of a particular disease, HIV/AIDS, on human resources. It includes empirical work explaining the interrelationship of health and income per capita, which is measured using a multivariate framework controlling for other background variables. Good health improves economic performance whereas ill health (using HIV prevalence as a proxy) deteriorates human capital, negatively affecting income per capita across countries.

Keywords: health capital; human capital; economic growth; HIV; human immunodeficiency virus; AIDS; acquired immune deficiency syndrome; instrumental variables; health status; transmission mechanisms; labour productivity; growth theory; economic performance; human resources; income per capita; multivariate frameworks; behavioural research; healthcare research.

DOI: 10.1504/IJBHR.2009.032154

International Journal of Behavioural and Healthcare Research, 2009 Vol.1 No.4, pp.353 - 370

Published online: 11 Mar 2010 *

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