Econ113Lect2F - ECON 113 AMERICAN ECONOMIC HISTORY Lecture...

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ECON 113: AMERICAN ECONOMIC HISTORY Lecture 2
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Agenda Collection of Introductions Almond (2006) Homework #1 Discussion
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Income and Health What’s the effect of income on health in the late 19 th & early 20 century? Reverse causality problems? Why do we care about this topic? Paper: Almond (2006): early life health income Key to paper: generating some random exposure to health or income shocks
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Almond (2006) – Overview Question: What’s the effect of an individual’s in utero environment on later life outcomes? Almond tests F etal O rigins H ypothesis FOH: chronic health conditions traced to fetal development Method: Use 1918 influenza pandemic as “natural experiment” Data: Census Finding: As adults, cohorts in utero during pandemic had lower education income SES And higher transfer payments rates of physical disability
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Almond (2006): Background “Spanish flu”: March 1918 - June 1920 affects 500 million globally (1/3 of global pop.) kills 50-100 million (about 3-6%) US: 28% of population (103 million) affected 33% pregnant women 500,000-675,000 died It is a SHOCK: 85% mortality occurs between October 1918 and January 1919 Why does it matter that the pandemic was a shock?
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Data 1960-1980 Census What are the benefits of using census data?
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