hukum dalam ekonomi pembangunan (15)

1. The relationship between health and economic development is explored, focusing on
nutrition-based health indicators. The spotlight is placed on the interrelated feedbacks
between the influence of health on productivity, on one hand, and the influence of
income on health status, on the other. Disentangling causality in these relationships
has preoccupied much of the literature; the authors evaluate different empirical
strategies that have been adopted and assess the results. There is now a body of
evidence based on careful empirical studies that demonstrates a causal relationship
between health and labor productivity; there is also evidence that, at least among the
very poor, additional income is spent on improved nutrition. There are two issues that
have received little attention although, the authors argue, they are likely to be very
important. First, measurement of health is discussed in detail. Evidence is presented
on how taking into account differences in the extent of measurement error is critical
for interpreting the impact of health on wages. The same theme emerges in studies of
the effect of income on health (specifically calorie intake). The key role of nonlinearities in these relationships is highlighted and the authors demonstrate that a good
deal of the variation in estimates of income elasticities of demand for calories can be
ascribed to the role of measurement and functional form.
2. Over the past 20 years, investment in human resources has taken center stage in the
study of developing economies. A voluminous set of wage function esti-mates
provides the basis for calculating market returns to education for virtu-ally every
country in the world. Studies have also looked at the effects of schooling on
nonmarket outcomes. Prominent among those outcomes is the health of children and

adults. Since health, like schooling, is a form of hu-man capital, one might expect it to
also be related to labor market success. That link has received much less attention in
the empirical literature, although in recent years there have been substantial advances
in our understanding of the complex interrelationships between health, nutrition, and
economic devel-opment. This paper reviews some of the evidence.
a. First, there is a long tradition of theoretical models of nutrition-based
efficiency wages in the development literature.
b. Section 2, presents correlations be-tween health and labor outcomes. We show that, in the United States, men who are taller and heavier (given height)
c.

earn higher wages.
Disentan-gling the direction of causality will clearly be key if we are to
interpret be-haviors. We discuss these issues in de-tail in Section 3.

d. Although there are many commonali-ties between health and education, Section 4 highlights two aspects of health that distinguish it from most other human capital measures.
e. Section 5 reviews the current state of the empirical evidence regarding the
relationship between health and labor outcomes, taking into account both experimental and nonexperimental studies.
3. Purpose :
 a compelling case for linking aggregate movements in adult height to long-run
changes in standards of living, including income, mortality, and possibly

morbidity.
4.
a. Growth in height in the selection of age
b. Growth in height in the selection of the sexes
c. Controlling for age (by including a dummy for each birth year), the correlation
between height and wages is slightly larger. In fact, restricting the sample to
men aged 30 to 35, the elasticity rises from 7.7 to 8.3 in Brazil.
d. An alternative model assumes wages are paid by the task, again costlessly
observed, with piecerate wages being competitively determined
5.


case of health, there are two additional substantive issues that are likely to be
of considerable import: direct contemporaneous feedback, or simultaneity,
discussed in this subsection,and measurement of health, which is discussed in



the next section.
Feedbacks between current health and income will arise, for example, if better

health results in higher productivity, more hours at work, or a higher
probability of working, and if, in turn, higher incomes are invested in health
by spending more on health-augmenting inputs.

TUGAS UTS EKONOMI PEMBANGUNAN
“Journal of Economic Literature, Vol. 36(2): 766-817”

Dosen Pembimbing:
Gigih Pratomo, S.E., M.Sc

Nama

: Ardya Ayu Dewanti

NPM

: 15410111