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This paper studies the impact of the COVID-19 epidemic on economic and health outcomes in China from January 20 to September 28, 2020. We first document China’s containment policies and present empirical evidence on the role of the online economy. We then use a SIR-macro model to study the macroeconomic and health outcomes of the epidemic. The model can generate infection and death dynamics broadly consistent with the data and the U-shaped recovery of the Chinese economy at the weekly frequency. The analysis reveals that, in addition to the containment policies, the development of the online economy (both online consumption and remote work) plays a critical role in fighting an epidemic.
When traditional measures for material conditions are scarce or unreliable, body mass, height, and weight are complements to standard income and wealth measures. A persistent question in welfare studies is the 19th century’s 2nd and 3rd quarter’s stature diminution, a pattern known as the antebellum paradox. However, the question may not be well stated nor experienced equally by women and non-white male samples. The late 19th century’s political Granger, Greenback, and Populist movements may have affected farmer and non-farmer’s net nutrition. Despite 19th and early 20th century US political movements, farmers had greater BMIs, taller statures, and heavier weights than non-farmers. From the 1870s through 1890s, women’s body mass, height, and weight increased relative to men. Individuals of African or mixed European-African descent had heavier weights and greater BMIs than their taller, European-white counterparts, indicating that the traditional antebellum paradox needs to include women and non-European males and weight measures.
The primary policy response to population aging in advanced economies has been to raise the mandatory retirement age. However, these policies have reignited calls for differentiated retirement ages that take into account variations in work intensity. This paper utilises microdata to examine the relevance and feasibility of this concept in Europe. It first quantifies career arduousness using SHARE wave 7 retrospective ISCO4-digit data on careers in combination with US O*NET working conditions data. Then, using SHARE follow-up data collecting (bad)health and death information about wave 7 respondents, it estimates (healthy) life expectancy by career arduousness decile, combining econometrics and life table methods. Findings reveal a life expectancy gap between the least and most arduous careers of 4to 4.2 years. Healthy life expectancy differences are slightly larger, ranging from 6.9 to 9.1 years. Also, women’s healthy life expectancy seems to be somewhat more impacted by arduousness.
Epidemiological and economic (Epi-econ) models account for endogenous interactions between the epidemic and the economy. We explore the applicability of an Epi-econ model to isolate the effects of lockdown policies during coronavirus disease 2019 in the Netherlands. To this aim, we recalibrate the seminal Epi-econ model of Eichenbaum and colleagues with updated parameters specific to the Dutch context. We find that the model performs poorly in replicating observed Epi-econ trends under baseline assumptions. Next, we explore possibilities to improve model fit by relaxing policy and transmission parameters, and by incorporating observed “random noise” in infectivity parameters. This approach spectacularly improves model performance in replicating observed trends. Finally, we test the performance of the model in simulating alternative policy scenarios. We use the Containment and Health Index from the Blavatnik School of Government to replace Dutch policy parameters with exemplary countries on opposite sides of the stringency spectrum. We find that a more stringent lockdown policy would reduce peak prevalence, while aggravating peak economic contraction, but with little effect on overall trends. Conversely, a more lenient lockdown policy was estimated to increase the peak and overall prevalence, with little effect on economic outcomes. We conclude that while rigorous adjustments to existing models were required, a combined Epi-econ model could be informative to policymakers in assessing alternative lockdown policy options.
We investigate whether the diseases for which there was more biomedical innovation had larger 1999–2019 reductions in premature mortality. Biomedical innovation related to a disease is measured by the change in the mean vintage of descriptors of PubMed articles about the disease. We analyze data on 286 million descriptors of 27 million articles about over 800 diseases. Premature mortality from a disease is significantly inversely related to the lagged vintage of descriptors of articles about the disease. In the absence of biomedical innovation, age-adjusted mortality rates would not have declined. Some factors other than biomedical innovation (e.g., a decline in smoking and an increase in educational attainment) contributed to the decline in mortality. But other factors (e.g., a rise in obesity and the prevalence of chronic conditions) contributed to an increase in mortality. Biomedical innovation reduced the mortality of white people sooner than it reduced the mortality of black people.
Patient navigation (PN) is increasingly used to help people overcome barriers to accessing health care. In a recent trial, PN was added to motivational interviewing (MI) to help patients discharged from detoxification (detox) transition to follow-up care. The goal was to test whether PN in addition to MI increased transition rates and reduced subsequent readmissions into detox compared with MI alone. Results demonstrated little evidence of a treatment effect on either of these two outcomes, but post hoc exploratory analyses showed that patients who received PN were less likely to be arrested in the year following discharge than patients who did not receive PN. In addition, the group that received PN had fewer multiple arrests resulting in a lower average number of arrests per person. These findings are hypothesis-generating and need replication for conclusive inference. Nevertheless, economic analysis indicates that PN after detox could be a cost-beneficial intervention to reduce arrests among a population at high risk for involvement in the criminal justice system.
Since 2006, Rwanda has experienced a substantial rise in the facility-based delivery (FBD) rate, attributed to various health initiatives. This paper investigates the impact of multiple health reforms on maternal service utilization and neonatal mortality rates. Employing a difference-in-differences framework utilizing geographical variation in the baseline FBD rate, our estimates indicate a 10–17 percentage point increase in FBD and a 0.15–0.18 times increase in the number of antenatal care visits. While our analysis indicates some evidence of a reduction in neonatal mortality rates, the findings are inconclusive. Nevertheless, our results suggest that the effect of the reforms on neonatal mortality rates was weakly intensified for those residing near district hospitals providing care for complicated pregnancies.
Considered the epidemic of the 21st century by the WHO, obesity is a global problem that is on the rise and will continue to increase in the coming years. Spain and Andalusia, in particular, are no exception to this pathology, which has tripled since the 1970s, representing a public health challenge. The aim of this study is to analyse the socioeconomic determinants of this pathology, with special emphasis on answering the question of what has a greater influence on overweight, education level, or income. For this purpose, we have used the European Survey of Health in Spain (ESHS-2020), a microdata base, with a total of 22,072 valid individual observations (of which 2,820 belong to the Andalusian population). Results we obtain in our estimations of qualitative response models reveal that, although both income and educational attainment could be effective in the fight against overweight, the social gradient of this health problem is greater with respect to educational attainment. Additionally, there are many other variables and other factors related to the individual’s overweight (mental health, subjective state of health, oral health, among others) which are much less explored and which must be considered in health policies to combat this disease.
This paper explores the relationship between globalisation and mental health by using the global dataset of high-, middle-, and low-income countries for the period 1970–2020. Although the consequences of globalisation on general health have been extensively studied, limited attention has been paid to investigating the implications on mental health. To show robustness, globalisation has been divided into three main dimensions such as economic globalisation, political globalisation, and social globalisation while, mental health has been classified through various indicators, i.e., mental disorder, anxiety disorder, and depressive disorder. The study used panel fixed effect techniques to demonstrate the quadratic effects of globalisation on mental health. A U-shaped curve relationship between globalisation (including economic, political, and political globalisation) and mental disorders, anxiety disorders, and depressive disorders was identified. However, findings also indicate an inverted U-shaped curve relationship between globalisation and mental health for high-income countries and a U-shaped curve relationship for middle- and low-income countries. Prioritizing mental health is crucial for overall well-being and productivity. Furthermore, a comprehensive policy implementation is strongly recommended to protect societies from mental distress when a country plans to expand globalisation worldwide.
The generalized risk-adjusted cost-effectiveness (GRACE) analysis method modifies standard cost-effectiveness analysis (CEA), the primary method currently used worldwide to value health improvements arising from healthcare interventions. Generalizing standard CEA, GRACE allows for decreasing or even increasing returns to health. Previous presentations of GRACE have relied extensively on Taylor Series expansion methods to specify key model parameters, including those that properly adjust for illness severity and preexisting disability, consequences of uncertain treatment outcomes, and the marginal rate of substitution between life expectancy and health-related quality of life. Standard CEA cannot account for these sources of value or cost in its valuation of medical treatments. However, calculations of GRACE measures based on Taylor Series are approximations, which may be poorly behaved in some contexts. This paper provides a new approach for implementing GRACE, using exact utility functions instead of Taylor Series approximations. While any proper utility function will suffice, we illustrate with three well-known functions: constant relative risk aversion (CRRA) utility; hyperbolic absolute risk aversion (HARA) utility, of which CRRA is a special case; and expo-power (EP) utility, of which constant absolute risk aversion (CARA) is a special case. The analysis then extends from two-period to multiperiod models. We discuss methods to estimate parameters of HARA and EP functions using two different types of data, one from discrete choice experiments and the other from “happiness economics” methods. We conclude with some reflections on how this analysis might affect benefit-cost analysis studies of healthcare interventions.
Communities urbanize when the net benefits to urbanization exceed rural areas. Body mass, height, and weight are biological welfare measures that reflect the net difference between calories consumed and calories required for work and to withstand the physical environment. Individuals of African-decent had greater BMIs, heavier weights, and shorter statures. Urban farmers had lower BMIs, shorter statures, and lower weight than rural farmers. Over the late 19th and early 20th centuries, urban and rural BMIs, height, and weight were constant, and rural farmers had greater BMIs, taller statures, and heavier weights than urban farmers and workers in other occupations.
The Harmer–Henry pension and tax review resulted in an increase in the common value of the single rate of Age Pension and Disability Support Pension from 25 per cent to 28 per cent of male total average weekly earnings. It also recommended a Resource Super Profits Tax that would have initially taxed mining ‘rents' at 36 per cent, on top of the pre-existing 30 per cent federal tax on profits. These recommendations represent two sides of the same coin: higher federal spending alongside higher federal taxes. The pension rise is likely to reduce participation in the labour force. The proposed tax rise would discourage mining activity as miners considered their options to delay or abandon projects. There is a lot to like at the level of detail in the Harmer–Henry package, but future efforts to reform our tax-transfer system should focus on promoting saving and investment, including investment in human capital.
This discussion paper by a group of scholars across the fields of health, economics and labour relations argues that COVID-19 is an unprecedented humanitarian crisis from which there can be no return to the ‘old normal’. The pandemic’s disastrous worldwide health impacts have been exacerbated by, and have compounded, the unsustainability of economic globalisation based on the neoliberal dismantling of state capabilities in favour of markets. Flow-on economic impacts have simultaneously created major supply and demand disruptions, and highlighted the growing within-country inequalities and precarity generated by neoliberal regimes of labour market regulation. Taking an Australian and international perspective, we examine these economic and labour market impacts, paying particular attention to differential impacts on First Nations people, developing countries, women, immigrants and young people. Evaluating policy responses in a political climate of national and international leadership very different from those in which major twentieth century crises were addressed, we argue the need for a national and international conversation to develop a new pathway out of crisis.
El objetivo de este trabajo es cuantificar la relación negativa entre actividad económica y la contención de la COVID-19 mediante la implementación de intervenciones no farmacéuticas en Paraguay. Para esto, calibramos el modelo desarrollado por Eichenbaum, Rebelo y Trabandt con datos de Paraguay. Utilizamos el modelo para simular la trayectoria de la actividad económica, dados distintos escenarios de infección. Consideramos tres casos de estudio. En el primero, consideramos una flexibilización de las medidas de intervención no farmacéuticas aún vigentes. En el segundo, estudiamos el impacto económico de contener una aceleración de la infección. En el tercer caso, analizamos una reducción de la infección y su efecto en la economía. Mediante el estudio de estos casos obtenemos una aproximación del costo económico de contener la infección.
Exposure to extreme shocks in early life is found to have a lasting impact in adulthood. Exploiting the variation in exposure measured by age and intensity of an earthquake, we evaluate the impact of a 7.7 MW earthquake in Gujarat, India, on the health stock of children who were in utero or below three years. Using the India Human Development Survey data from 2004–05 and earthquake intensity data, we find an affected girl child to be shorter by at least 2.5 cm at the age of 3–6 years. The earthquake seems to have destroyed the household infrastructures and health facilities, affecting the expecting mothers and newborn children. The households using services to meet nutritional needs of children and pregnant women seem to be least affected. Our findings recommend faster reconstruction activities and highlight the importance of universal healthcare and nutritional delivery services to mitigate the impacts of early-life shocks.
While previous studies have confirmed the negative effects of son preference on the prenatal care received by girls, few have examined its effect on birth outcomes. This study contributes to the literature on son preference by examining this relationship. The degree of son preference is measured by the sex ratio at birth, and the data were obtained from the birth registry of South Korea, which has a long history of strong son preference. We find that girls are more likely to be born with low birth weight when son preference is stronger. In addition, when son preference is stronger, girls are more likely to be born outside hospitals, which implies that mothers conceiving girls make fewer prenatal visits to the hospital when their son preference is stronger.
While the relationship between socioeconomic status and child health has been studied extensively in developed countries, evidence is limited for developing countries. This study makes an important contribution by examining the relationship between child health and household socioeconomic status in Vietnam, using household expenditure as an alternative measure. This also allows us to explore the mechanisms via which income affects child health, in which household consumption arguably plays a crucial role. We employ different measures of health that allow us to examine both long-run and short-run effects, and two alternative instrumental variables, the unemployment rate and rainfall deviation, to address the potential endogeneity of household expenditure. We find evidence of a strong positive impact of household expenditure on child health and the findings are consistent across age groups. Specifically, a 10% increase in expenditure will result in a weight gain of 213–541 g in a “typical” child. We also explore the effect of a range of exogenous adverse economic shocks on children's health.
This paper estimates the effects of teenage childbearing on education, working, physical and mental health, and physical activity of young girls in Mexico using two waves of the nationally representative Mexican Family Life Survey. We employ a propensity score matching model that accounts for a rich set of baseline covariates that predict teenage childbearing to attempt to reduce the bias due to confounding variables associated with teenage childbearing. The results demonstrate that teenage childbearing is associated with an increase in the probability of being overweight, and reductions in physical activity and the probability of high school completion. Moreover, the results are consistent when we employ sibling fixed effects to account for unobservable family background.
In benefit-cost analysis, fatality risk reductions are usually valued based on estimates of adults’ willingness to pay for changes in their own risks, regardless of whether the risk reduction accrues to adults or children. This approach reflects the relatively large number of valuation studies that address adults; however, the literature on children is growing. We review these studies, focusing on those that estimate values for both adults and children using a consistent approach to limit the effects of between-study variability. We rely on explicit selection criteria to identify studies that measure reasonably comparable outcomes and are candidates for application to analyses of U.S. policies. The ratio of values for children to values for adults ranges from 0.6 to 2.9; however, most estimates are greater than 1.5. Although some studies suggest that the divergence between child and adult values decreases as the child ages, this finding is not universal. We conclude that analysts should test the sensitivity of their results to the use of higher values for children than adults. Additional empirical research is needed to support more precise estimates of the variation in values by age that can be featured in the primary analysis.
Benefit-cost analyses of education policies in low- and middle-income countries have historically used the effect of education on future wages to estimate benefits. Strong evidence also points to female education reducing both the under-five mortality rates of their children and adult mortality rates. A more complete analysis would thus add the value of mortality risk reduction to wage increases. This paper estimates how net benefits and benefit-cost ratios respond to the values used to estimate education’s mortality-reducing impact including variation in these estimates. We utilize a ‘standardized sensitivity analysis’ to generate a range of valuations of education’s impact on mortality risks. We include alternative ways of adjusting these values for income and age differences. Our analysis is for one additional year of schooling in lower-middle-income countries, incremental to the current mean. Our analysis shows a range of benefit-cost ratios ranging from 3.2 to 6.7, and net benefits ranging from $2,800 to $7,300 per student. Benefits from mortality risk reductions account for 40% to 70% of the overall benefits depending on the scenario. Thus, accounting for changes in mortality risks in addition to wage increases noticeably enhances the value of already attractive education investments.