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Economic Development, Risky Sexual Behavior, and AIDS Epidemics¡ªTheory and Evidence

Author

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  • Xue Qiao
  • Xiaohan Zhong
  • Sin Sung

    (School of Economics and Management, Tsinghua University, Beijing 100084, China)

Abstract

In this paper, we present a simple theoretical model to investigate how economic development affects AIDS epidemics through its influence on individuals¡¯ sexual behavior, building on the literature on economic growth with endogenous mortality concern. We employ provincial data from China on the incidence rate of AIDS between 2002 and 2008 to test the theoretical predictions. The findings are: (1) a rise in personal income/wealth induces more safe sexual activities and reduces the prevalence of AIDS; and (2) increases in public health expenditure do not have a significant positive impact on individuals¡¯ preference of risky sexual activity over safe sexual activity.

Suggested Citation

  • Xue Qiao & Xiaohan Zhong & Sin Sung, 2012. "Economic Development, Risky Sexual Behavior, and AIDS Epidemics¡ªTheory and Evidence," Frontiers of Economics in China-Selected Publications from Chinese Universities, Higher Education Press, vol. 7(3), pages 407-433, September.
    • Handle: RePEc:fec:journl:v:7:y:2012:i:3:p:407-433
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    File URL: http://journal.hep.com.cn/fec/EN/10.3868/s060-001-012-0018-5
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    More about this item

    Keywords

    economic development; risky sexual behavior; AIDS epidemics;
    All these keywords.

    JEL classification:

    • H51 - Public Economics - - National Government Expenditures and Related Policies - - - Government Expenditures and Health
    • I15 - Health, Education, and Welfare - - Health - - - Health and Economic Development
    • O12 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Microeconomic Analyses of Economic Development

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