Impact of Health on Earnings: Individual and District Level Analysis for Pakistan

Ahsan, Henna and Idrees, Dr Muhammad (2014): Impact of Health on Earnings: Individual and District Level Analysis for Pakistan.

Abstract

The present study aims to explore the impact of health on productivity, measured through earnings at both individual level and district level of Pakistan. For individual analysis health is measured by various nutrition intakes (calories, protein and vitamin A) and for district analysis health is measured by nutrition intake as well as through regional health facilities (number of beds per earners and basic health units per earners) by obtaining the data from Household Integrated Economic Survey 2010-2011 and from various Provisional Development of Statistics. The study concludes that health is foremost element to enhance the productivity level. The unequal distribution of nutrition intake and health facilities causes the earnings inequality, to narrow down this earning inequality there is a need for fair distribution of nutrition intake and health facilities.

• Item Type: MPRA Paper
• Language: English
• Keywords: Health, Earnings, Nutrition
• Subjects: I - Health, Education, and Welfare > I0 - General > I00 - General

References

Abbas, Q. (2000), “The Role of Human Capital in Economic Growth: A Comparative Study of Pakistan and India”, The Pakistan Development Review, 39: 4 Part II. pp. 451–473.

Acemoglu, D. and Johnson, S. (2007), “Disease and Development: The Effect of Life Expectancy on Economic Growth”, Journal of Political Economy, 2007, vol. 115, No. 6.

Aguayo-Rico, .A., Guerra-Turrubiates, Iris A. and de Oca-Hernández Ricardo Montes Instituto (2005), “Empirical Evidence of the Impact of Health on Economic Growth”, Issues in Political Economy, 14 (August).

Ahmad, E., Ashraf, M.F. and Ahmad, A. (1991), “Learning and Earnings Profiles in Pakistan’s Informal Sector”, Pakistan Economic and Social Review, Vol. 29(2).

Akram, N., Padda, I. H and Khan, M. (2008), “The Long Term Impact of Health on Economic Growth in Pakistan”, The Pakistan Development Review, 47: 4 Part II pp. 487–500.

Arcand. Jean-L. (2001), “Undernourishment and Economic Growth: The Efficiency Cost of Hunger”, Food and Agriculture Organization of the United Nations (FAO), Economic and Social Development Paper, ISSN 0259-2460; 147.

Arora, S. (2001), “Health, Human Productivity, And Long-Term Economic Growth," The Journal of Economic History, Cambridge University Press, vol. 61(03), pages 699-749.

Ashraf, B. and Ashraf, J. (1996), “Evidence on Gender Wage Discrimination from 1984- 85 HIES: A Note”, Pakistan Journal of Applied Economics, Vol. 12(1)

Audibert, M. and Pascale, C. M. (2010), “Global Burden of Disease and Economic Growth”, CERDI Working Paper, No.36.

Aziz, F. (1995). “Nutrition, Health and Labor Productivity Analysis of Male and Female Workers: A Test of the Efficiency Wage Hypothesis”. Economic Development Center, University of Minnesota. Bulletin No. 95- 5.

Barro, R. and Lee, J (1994), “Sources of Economic Growth”, Carnegie-Rochester Conference Series on Public Policy40: 1–46.

Bashir, F., Farooq, S., Nawaz, S., Bagum, M., Sandila, M. A. and Arshad, M. R. (2012), “Education, Health and Employment in Pakistan: A Co-integration Analysis”. Research on Humanities and Social Sciences, ISSN 2224-5766 (Paper) Vol.2, No.5, 2012

Becker, Murphy, M. K. and Robert T. (1990), “Human Capital, Fertility, and Economic Growth”, Journal of Political Economy, 98:5, Part 2, S12–36.

Bhargava. A, Jamison, D. T., Lau. L & Murray. C. J. (2001), “Modeling the Effects of Health on Economic Growth”, Journal of Health Economics, 423–440.

Bloom, D. E., and Williamson, J.E. (1998), “Demographic Transitions and Economic Miracles in Emerging Asia”, World Bank Economic Review, vol. 12, No. 3, pp. 419-456.

Bloom, D., Canning, D. and Malaney, P. (2000), “Demographic Change and Economic Growth in Asia”, Population and Development Review, 26:257-290.

Bloom, D.E., Canning, D.and Sevilla, J. (2004), “The Effect of Health on Economic Growth: A Production Function Approach”, World Development, 32, 1, 1-13.

Bowser. D. (2010), “The Effect of Life Expectancy on Economic Growth in the United States”, Harvard School of Public Health.

Butterfield, G. (2013),”Food that Kill Stomach Fat”. http://foodsthatkillstomachfat.com/how-much-protein-is-to-much-protein/.

Carstensen, E and Gundlach, E. (2006), “The Primacy of Institutions Reconsidered: Direct Income Effects of Malaria Prevalence” World Bank Economic Review, 20 (3): 309-339.

Chaudhry, I. S., Faridi, M. Z and Anjum, S. (2010), “The Effects of Health and Education on Female Earnings: Empirical Evidence from District Vehari”, Pakistan Journal of Social Sciences (PJSS,) Vol. 30, No. 1, pp. 109-124.

Cuddington, J. T. and Hancock, J. D. (1994), “Accessing the Impact of AIDS on Growth Path of the Malawian Economy”, Journal of the Development Economics.43:363-368.

Deolalikar, A. B. (1988), “Nutrition and Labor Productivity in Agriculture: Estimates for BasicSouth India”, The Review of Economics and Statistics, Vol. 70, No. 3 (Aug., 1988), pp. 406-413.

Ellis, W. T. and Wang, P (1994), “Human Capital and Endogenous Growth Evidence from Taiwan”, Journal of Monetary Economics, 34, 101–124.

Faridi, M. Z., Malik, S. and Ahmad R. I. (2010), “Impact of Education and Health on Employment in Pakistan: A Case Study”, European Journal of Economics, Finance and Administrative Sciences, ISSN 1450-2887 Issue 18.

Food and Agriculture Organization of the United Nations, (2003), “The State of Food Insecurity in the World”, Rome: FAO. www.fao.org/sof/sofi/index_en.htm

Finlay, J. (2007), “The Role of Health in Economic Development”, Program on the Global Demography of Aging, PGDA Working Paper No. 21. Food and Agriculture Organization of the United Nations, (2003), “The State of Food Insecurity in the World”, Rome: FAO. www.fao.org/sof/sofi/index_en.htm. Gallup, J.L., Sachs, J.D, Mellinger, A.D. (1999), “Geography and Economic Development”, International Regional Science Review, 22(2): 179–232.

Guisinger, S. E., Henderson, J.W. and Scully, G.W. (1984), “Earning, Rate of Returns to Education and Earning Distribution in Pakistan”, Economics of Education Review, Vol. 3(4).

Gyimah-Brempong, K., & Wilson, M. (2004), “Health Human Capital and Economic Growth in Sub-Saharan African and OECD Countries”, The Quarterly Review of Economics and Finance, 296–320.

Haddad, L.J. and Bouis, H. E. (1991), "The Impact of Nutritional Status on Agricultural Productivity: Wage Evidence from the Philippines," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 53(1), pages 45-68.

Haqque, N. (1997), “Economic Analysis of Personal Earnings in Rawalpindi City”. The Pakistan Development Review, 26: 467-696.

Hasan, M. A. (1999), “Least Developed Countries Section, Development Research and Policy Analysis Division”, ESCAP.

ILO, (2005). “Poor Workplace Nutrition Hits Workers’ Health and Productivity”. http://www.ilo.org/global/about-the-ilo/newsroom/news/WCMS_005175/lang--en/index.htm.

Kedir, M. A. (2008), “Health and Wages : Panel Evidence of Men and Women Using IV Quintile Regression”, Department of Economics, University of Leicester, Working Paper No. 08/37.

Khan, M. (1990), “Nutrition in Growth and Health”. Health and Nutrition, Planning and Development Division, Islamabad.

Leibenstein, H. (1957), “The Theory of Underemployment in Backward Economies”, The Journal of Political Economy, Vol. 65, No. 2, pp. 91 -103.

Lucas, R.E. (1988), “On the Mechanics of Economic Development”, Journal of Monetary Economics, Vol. 22, pp. 3-42.

Malik, G.. (2006), “An Examination of the relationship between Health and Economic Growth”, ICRIER Working Paper, No. 185.

Mincer, J. (1981), “Human Capital and Economic Growth”, NBER Working Paper No. 803.

Nair, Z. M. and Iqbal, N. (2009), “Employers Size Wage Differential: Does Investment in Human Capital Matter?”. The Pakistan Development Review, 48: 4 Part II, pp. 509–521.

Nasir, Z. M. and Nazli, H. (2000), “Education and Earnings in Pakistan”. Pakistan Institute of Development Economics, Islamabad. (Research Report No. 177.

OECD (1982), “What are equivalence Scale?” http://www.oecd.org/els/soc/OECD-Note-EquivalenceScales.pdf.

Ogundipe, M. A. and Lawal, N. A. (2011), “Health Expenditure and Nigerian Economic Growth”, European Journal of Economics, Finance and Administrative Sciences, ISSN 1450-2275 Issue 30.

Pakistan, Government of (2001), Food Composition Table for Pakistan. Peshawar, Planning and Development Division for Pakistan.

Pakistan, Government of (2011), District development profile for Baluchistan 2011 published by Baluchistan Bureau of Statistics, Statistics Division.

Pakistan, Government of (2011), Labor Force Survey 2010-2011. Islamabad: Federal Bureau of Statistics, Statistics Division.

Pakistan, Government of (2011), Pakistan Household Integrated Economic Survey for 2010-2011. Islamabad: Federal Bureau of Statistics.

Pakistan, Government of (2011), Socio-economic Indicators at the District Level, Sindh Published by Sindh Bureau of Statistics, Statistics Division.

Pakistan, Government of (2011), Socio-economic Indicators at the District Level, KPK Published by KPK Bureau of Statistics, Statistics Division.

Pakistan, Government of (2012), Punjab Development Statistics 2011-2012 published by Punjab Bureau of Statistics, Statistics Division.

Preston, S.H. (1975), “The Changing Relation between Mortality and Level of Economic Development”, Population Studies, 29, pp. 231–48.

Ranis, G., Stewart, F.and Ramirez, A. (2000), “Economic growth and human Development”, World Development, 28, 197-219.

Rene, B. (2000), “HIV/AIDS: Does It Increase or Decrease Growth in Africa?”, World Bank, ACT Africa (AIDS Campaign Team for Africa), November, Washington, D.C.

Renny, O. R. (2012), “The Role of Health in Economic Growth and Development”, A Term Paper, Department of Masters public and International Affairs, University of Lagos, Nigeria.

Sabir, M. and Aftab, Z. (2007), “Dynamism in the Gender Wage Gap: Evidence from Pakistan”, The Pakistan Development Review, Vol. 46, No.4 Part II.

Sachs, J. D. (2003), “Institutions Don’t Rule: Direct Effects of Geography on Per Capita Income”. NBER Working Paper 9490.

Scott, M. and Jennifer, R. (2006), “AIDS and Economic Growth: A Human Capital Approach”, Journal of Development Economic, 80, 228– 250.

Siddiqui, R., Hamid, S., Siddiqui, R., Akhatar, N. and Soomro, G.Y. (2006), “Gender and Empowerment, Evidence from Pakistan”, Islamabad: Pakistan Institute of Development Economics, ISBN 969-461-129-6.

Stauss, J. (1986), “Does Batter Nutrition Raise Farm Productivity”, The Journal of Political Economy, Volume 94, Isuue 2.pp.297-320.

Strittmatter, A. and Sunde, U. (2011), “Health and Economic Development: Evidence from the Introduction of Public Health Care," IZA Discussion Papers 5901, and Institute for the Study of Labor (IZA).

Thomas, D and Strauss, J. (1997), “Health, Wealth and Wages of Men and Women in Urban Brazil”,RAND Labor and Population Working paper, 95, Vol. 11.

Traore, N. (2007), “Does Better Nutritional Status Leads to Higher Farm Productivity? Theory and Evidence from BasicMali”, Hunter College, Department of Economics.

Weil, D. N. (2007), “Accounting for the Effect of Health on Economic Growth”, Quarterly Journal of Economics, 122 (August): 1265–1306.

Weinberger, K. (2003), "The Impact of Micronutrients on Labor Productivity: Evidence From BasicIndia,” Annual Meeting, August 16-22, 2003, Durban, South Africa 25897, International Association of Agricultural Economists.

World Bank (2005).World Health Development Indicators. Washington DC. World Bank.

World Development Indicator, (2013), World Bank.

World Health Organization, (2008), The Global Burden of Disease, update. Geneva, Switzerland.http://www.who.int/healthinfo/global_burden_disea/GBD_report_2004update_full.pdf.