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Author:Grimm, M.
Title:Does inequality in health impede economic growth?
Journal:Oxford Economic Papers
2011 : JUL, VOL. 63:3, p. 448-474
Index terms:health
inequality
public services
policy
welfare
economic development
economic growth
Language:eng
Abstract:This study investigates the impacts of inequality in health on economic growth in countries where income is low or mediocre. The empirical part of the study uses an original cross-national panel data set gathered from 62 low and middle income countries over 1985-2007. A substantial and quite robust negative effect is found of health inequality on income levels and income growth controlling for life expectancy, country and time fixed-effects among other effects shown to matter for growth. The effect also holds when health inequality is instrumented to circumvent a potential problem of reverse causality. Thus, reducing inequality in health care and access to health information can make a significant contribution to economic growth.
SCIMA record nr: 275404
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