A second-generation endogenous model about health as determinant of economic growth

• Autores: Monterubbianesi, Pablo Daniel
• Año de publicación: 2011
• Idioma: inglés
• Tipo de recurso: artículo
• Materia: Health; Endogenous Growth; Channels of Influence
• Institución: Consejo Nacional de Investigaciones Científicas y Técnicas

The intrinsic value of health as a component of human capital has been increasing with the passage of time and, thus, its relevance as a determinant of economic growth. We present a second-generation endogenous growth model where health plays a crucial role as a determinant of economic growth. In this model, a higher level of the health status and, thereby, of human capital, produces different effects. On the one hand, it elevates the product of both final and intermediate (innovation) goods sectors. On the other hand, it enhances the capacity to learn, and strengthens the adaptability to changes and creative abilities, reducing the cost of each new innovation and generating a higher growth rate. Additionally, any improvement in the rate of depreciation of health status will reduce the cost of innovation, thus generating a higher growth. Thus, the model presented here captures the different channels of influence proposed in economic literature.
Fil: Monterubbianesi, Pablo Daniel. Consejo Nacional de Investigaciones Científicas y Técnicas. Centro Científico Tecnológico Conicet - Bahía Blanca. Instituto de Investigaciones Económicas y Sociales del Sur. Universidad Nacional del Sur. Departamento de Economía. Instituto de Investigaciones Económicas y Sociales del Sur; Argentina