Ill-health, savings and portfolio choices in developing economies

• 成果类型: Article
• 署名作者: Kochar, A
• 署名单位: Stanford University
• 刊物名称: JOURNAL OF DEVELOPMENT ECONOMICS
• ISSN/ISSBN: 0304-3878
• DOI: 10.1016/j.jdeveco.2003.02.001
• 发表日期: 2004
• 页码: 257-285
• 关键词: health; savings; portfolio choices

摘要

This paper examines the effect of adult health on the savings and portfolio decisions of rural Pakistani households. It also tests whether such effects result because ill-health affects income and the rates of return on specific assets. By so doing, it provides evidence on the sensitivity of savings to income changes and to interest rates. I find that expectations of future ill-health increase overall savings, but reduce investments in productive assets thereby forging a link between health and poverty. I also find that the number of males in a household condition the impact of the ill-health of any given individual on savings outcomes. (C) 2003 Elsevier B.V. All rights reserved.