The Economic Benefits of Investing in Child Health
This paper presents a survey of the theory and the evidence on the economic impact of investing in child health. It shows that investing in the health of children is justified not only because it fulfills a basic human right, but also because it is...
| Main Authors: | , |
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| Format: | Working Paper |
| Language: | English en_US |
| Published: |
World Bank, Washington, DC
2013
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| Subjects: | |
| Online Access: | http://documents.worldbank.org/curated/en/2003/05/4067559/economic-benefits-investing-child-health http://hdl.handle.net/10986/13789 |
| Summary: | This paper presents a survey of the
theory and the evidence on the economic impact of investing
in child health. It shows that investing in the health of
children is justified not only because it fulfills a basic
human right, but also because it is an investment with high
social and private returns. A central theme of this paper is
that the relationship that links child health with
economically relevant dimensions is circular-poverty
contributes to disease, and poor health contributes to
perpetuating poverty. The available evidence shows that
almost 11 million children die every year from largely
preventable diseases, and it unveils what the principal
determinants of child illness are. The vast majority of
children who die belong to the more disadvantaged
socioeconomic groups within each country. Furthermore, the
literature identifies several interventions and programs
that could significantly contribute to improved child
health, particularly in the areas of nutrition, communicable
disease prevention and control, and education. We
intuitively understand that there is a huge potential for
largely positive social and economic returns on child health
investments. Yet quantitative estimation of these benefits
is still at an early stage. First, the association between
health interventions and their social and economic
consequences is multidimensional and complex. Second, the
return on investment is measurable only over the long term.
Third, the return is not automatic, and its magnitude is
highly context-specific. For these reasons, few studies,
mostly in the area of nutrition or of immunization services,
have attempted to develop a full cost-benefit analysis, or
to provide a quantitative measure of the benefits attainable
by investing in child health. Instead, most empirical
studies have focused on one of the several potential
intermediate benefits of investing in child health, such as
improved cognitive ability, increased school participation
and attainment, and the induced demographic changes, which
can be measured with greater precision. |
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