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7.27510.Health_3_

7.27510.Health_3_ - 6 Health(cont 3 Econ/Demog 27510 Ronald...

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Ronald Lee, UC Berkeley, 2010 1 6. Health(cont. 3) Econ/Demog 27510 Ronald Lee March 3, 2010
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Ronald Lee, UC Berkeley, 2010 2 Readings for next time (note I deleted Cutler and Miller, and Case and Paxson. But can continue with them if you prefer. A.V. Chayanov, The Theory of Peasant Economy , Daniel Thorner et al translators, (University of Wisconsin Press, 1986; originally 1925); pp. 53-60 and bottom 76-81. (get main ideas; don’t need detail) Ronald Lee and Karen Kramer (2002) "Children's Economic Roles in the Context of the Maya Family Life Cycle: Cain, Caldwell, and Chayanov Revisited,“ Population and Development Review , 28 (3):475-499 (September 2002). (get main ideas; don’t need detail.). Ronald Lee and Andy Mason (2010) “Generational Economics in a Changing World”, under review. PopEconMath on bSpace – a few pages of notes tying stable population theory to the macroeconomy. More to come in the next week.
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Ronald Lee, UC Berkeley, 2010 3 Student reports Donald Cox, “Motives for Private Income Transfers,” Journal of Political Economy , June 1987, 95: 508-546. Antoine Bommier, Ronald Lee, Tim Miller and Stephane Zuber (in press) “Who wins and who loses? Public transfer accounts for US generations born 1850 to 2090”, Population and Development Review (March).
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Ronald Lee, UC Berkeley, 2010 4 Plan for Class Background material a) Review life cycle model of health from last lecture. b) interpreting relative risk. e.g. high grade has 1/3 the mortality of low grade. Does that mean they live three times as long? c) Allostatic load and social inequality. d) Income distribution and aggregate mortality—measurement, nonlinearity, Deaton, etc. The gradient. Wilkerson. Aspects of the SES-Health gradient: a) Smith : SES cause health, or the reverse? b) Can we take education as an exogenous cause of health and longevity? Report from Emmanuel . c) Banks et al : US mort is higher than British. d) The gradient in Costa Rica ( Rosero-Bixby and Dow ) e) Almond and early life effects: H 0 and the influenza epidemic.
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Ronald Lee, UC Berkeley, 2010 5 To keep in mind from last time: what implications for the gradient? ( 29 20 , , T t t t t V e U X Y h dt ρ - = δ is depreciation. Z(x) are pure health inputs, yield no direct utility, e.g. doctor visits, vaccinations. Y(x) are inputs and behaviors that also affect utility, such as exercise, diet, smoking, drinking, safe sex. X(t) just yield utility, irrelevant for health. Other equations for consumption, saving, assets. [ ] ( 29 ( 29 20 lifetime earnings T rt t PV e w ed h t dt - = ( 29 ( 29 ( 29 , I x f Y x Z x = ( 29 ( 29 ( 29 ( 29 ( 29 ( 29 1 1 1 1 health shocks H x x H x I x x δ = - - - + - +
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Ronald Lee, UC Berkeley, 2010 6 A. Relative risk and life expectancy Suppose the mortality risk of high ranking civil servants is only one third of that of low ranking. What does this tell us about differences in remaining life expectancy, say at age 30, between the two groups?
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