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Health and Income Variation – A Panel Data Study on the Developed and Less Developed Economies

개인저자
I- Ming Chiu
수록페이지
305-318 p.
발행일자
2011.06.09
출판사
The Korea International Economic Association
초록
In this paper, human capital in the form of ‘health status’ is introduced into a neoclassical economic growth model as one of the main factors differentiating rich and poor countries. Various panel data models are used to examine how health and other growth factors affect average income in different countries. Our main empirical finding indicates that a one-year increase in life expectancy (the health status measure) raises GDP per capita by 0.5–0.9%. Based on this result, a baseline health status can be established to help poor countries achieve a targeted economic growth rate.