Project Management

Health Investments And Economic Growth: Macroeconomic Evidence And Microeconomic Foundations

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Executive Summary

This paper reviews the correlations and potential links between health and economic growth and summarizes the evidence on the role of government in improving health status. At the macroeconomic level, the evidence of an impact of health on growth remains ambiguous due both to difficulties in measuring health, and to the methodological challenges of identifying causal links. The evidence on the micro linkages from health investments to productivity and income are robust. Whether public investments in medical care affect health hinges on the quality of health institutions.

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