Health economics

George Wehby, Dhaval Dave, Robert Kaestner, 26 September 2016

Despite ample research on the effects of minimum wage increases on employment, there has been little consensus on the effects of such increases on workers’ broader welfare, and in particular on their health and that of their families. This column analyses comprehensive data from the US on the effects of minimum wage increases on the health of children born to low-income workers. It finds that the increases have a significant positive impact on birth weights. This has important policy implications, with infant health acting as a reliable indicator of future health.

Kate Ho, Robin Lee, 16 September 2016

The US health insurance market is becoming less competitive due to mergers and withdrawal of services from certain states. This column examines how this affects consumers through insurance premiums and hospital reimbursement rates. Using employer-sponsored insurance data from California, it finds that the relationship between insurer competition and health care spending depends on institutional and market structure.  If premiums can be constrained through effective regulation or negotiation, then reduced competition might lead to lower costs. Absent such constraints, consumers will likely be harmed.

John Gibson, 01 September 2016

Different survey methodologies are typically employed to produce estimates of global hunger. This column considers some of the methodological issues that arise. Short reference periods for each household lead to overstated variances and the confounding of chronic and transient welfare components. The column goes on to present a new approach to measuring chronic hunger which tackles this sampling problem by employing an intra-year panel. 

Dhaval Dave, Nadia Doytch, Inas Kelly, 06 August 2016

Food consumption has increased worldwide, concurrent with rising obesity rates.  This column draws on five decades of data from 209 countries to identify trends in overall caloric intake as well as the types of foods that provide the calories. The data reveal differences between socioeconomic groups and regions that are likely to have important implications for population health. Preliminary analysis of the economic correlates suggests that GDP per capita, labour force participation and healthcare measures explain much of the rise in caloric intake.

Silda Nikaj, Joshua J. Miller, John Tauras, 28 July 2016

Progress in adopting smoking bans across the US has been slow, despite a majority of Americans supporting a ban in public places. This column uses aggregate and establishment-level data from Texas to examine the economic effects of smoking bans on bars and restaurants. The results suggest that bars and restaurants are not adversely affected by the adoption of a ban. 

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