Skip to main content

Advertisement

Log in

Investing in health

Overcoming the poverty trap by effective and efficient health care

  • Original Article
  • Published:
Journal of Public Health Aims and scope Submit manuscript

Abstract

This article analyses the relationship between health and development. It provides a theoretical foundation of the empirical finding that health and development are positively correlated. Empirical data and recent studies on the relation between health and development are analysed. The theory of development traps is enhanced to explain the feedback loop between these elements. There is a strong empirical correlation between health and development. The higher the gross national product, the higher the life expectancy and the lower the mortality and morbidity. This relation is true for developing as well as for developed countries. It is obvious that economic resources have an impact on the availability of health care resources and consequently on health, but at the same time the health of a population is of strong importance for their economic capability. Thus, health and development are elements of an autocatalytic process. Investments in health care will start a positive spiral of development and health. However, not every investment will yield fruits. They must be efficient and effective, must follow the value system of a society and must invest in the ability of decision makers to deal with complexity and dynamics.

This is a preview of subscription content, log in via an institution to check access.

Access this article

Price excludes VAT (USA)
Tax calculation will be finalised during checkout.

Instant access to the full article PDF.

Fig. 1
Fig. 2
Fig. 3
Fig. 4
Fig. 5
Fig. 6
Fig. 7
Fig. 8
Fig. 9
Fig. 10
Fig. 11

Similar content being viewed by others

References

  • Amoako KY (2002) Additional resources will mean better health. Bull World Health Organ 80:164–165

    PubMed  Google Scholar 

  • Ashraf H (2000) WHO assembles leading economists to study poverty reduction and health. Lancet 355:386

    PubMed  CAS  Google Scholar 

  • Brundtland GH (2002) Health: a pathway to sustainable development. JAMA 288:156

    Article  PubMed  Google Scholar 

  • Eastwood R, Lipton M (1999) The impact of changes in human fertility on poverty. J Dev Stud 36:1–30

    Google Scholar 

  • European Commission (2005) The contribution of health to the economy in the European Union. European Commission, Luxembourg

    Google Scholar 

  • Feachem RGA (2002) Commission on Macroeconomics and Health (editorial). Bull World Health Organ 80:87

    PubMed  Google Scholar 

  • Flessa S (1999) Decision support for malaria-control programmes—a system dynamics model. Health Care Manage Sci 2:181–191

    Article  CAS  Google Scholar 

  • Flessa S (2000) Where efficiency saves lives: a linear programme for the optimal allocation of health care resources in developing countries. Health Care Manage Sci 3:249–267

    Article  CAS  Google Scholar 

  • Flessa S (2002) Gesundheitsreformen in Entwicklungsländern. Lembeck, Frankfurt

    Google Scholar 

  • Flessa S (2003) Arme habt ihr allezeit. Vandenhoeck & Ruprecht, Göttingen

    Google Scholar 

  • Fleßa S (2007) Overcoming the poverty trap by effective and efficient health care. Proceedings of the European Health Conference 2006. European Commission, pp 285–290

  • Frenk J, Knaul F (2002) Health and the economy: empowerment through evidence. Bull World Heath Organ 80:88

    PubMed  Google Scholar 

  • Frenkel M, Hemmer HR (1999) Grundlagen der Wachstumstheorie. Vahlen, Munich

    Google Scholar 

  • Gwatkin DR, Rutstein S, Johnson K, Pande RP, Wagstaff A (2001) Socio-economic differences in health, nutrition and population. Report from The World Bank, Washington, D.C.

  • Ivinson AJ (2002) Macroeconomics and health: investing in health for economic development (book review). Nat Med 6:551–552

    Article  Google Scholar 

  • Klein R, Scholl A (2004) Planung und Entscheidung. Vahlen, Munich

    Google Scholar 

  • Meade MS, Florin JW, Gesler WM (1988) Medical geography. Guildford, New York

    Google Scholar 

  • Mielck A (2005) Soziale Ungleichheit und Gesundheit. Hans Huber, Bern

    Google Scholar 

  • Möller J, Schmidt C, Laaser U, Güntert B (2004) Gesundheit der Ökonomie und Ökonomie der Gesundheit. J Public Health 12:3–9

    Article  Google Scholar 

  • Morrow RH (2002) Macroeconomics and health. Despite shortcomings the plans in this report deserve strong support. BMJ 325:53–54

    Article  PubMed  Google Scholar 

  • Nelson RR (1956) A theory of the low-level equilibrium trap in underdeveloped economies. Am Econ Rev 46:894–908

    Google Scholar 

  • Neumann M (1994) Theoretische Volkswirtschaftslehre III, 2nd edn. Vahlen, Munich

    Google Scholar 

  • Pokhrel S, Hidayat B, Flessa S, Sauerborn R (2005) Modelling the effectiveness of financing policies to address underutilization of children’s health services in Nepal. Bull World Health Organ 83:339–346

    Google Scholar 

  • Pritchett L, Summers LH (1996) Wealthier is healthier. J Hum Resour 31:841–868

    Article  Google Scholar 

  • Rose K (1995) Grundlagen der Wachstumstheorie, 6th edn. Vandenhoeck & Ruprecht, Göttingen

    Google Scholar 

  • Sachs J (2002a) Creating a healthy global economy. BMJ 324:12

    Article  Google Scholar 

  • Sachs J (2002b) An economist’s view of health. Bull World Health Organ 80:167–169

    PubMed  Google Scholar 

  • Siadat B, Stolpe M (2005) Reforming health care finance: what can Germany learn from other countries? Kiel economic policy papers No. 5, Institut für Weltwirtschaft, Kiel

  • Sterman J (2000) Business dynamics. McGraw-Hill, Boston

    Google Scholar 

  • Su TT, Pokhrel S, Gbangou A, Flessa S (2006) Determinants of household health expenditure on western institutional health care. Eur J Health Econ 7:199–207

    Article  PubMed  Google Scholar 

  • Subramanian SV, Belli P, Kawachi I (2002) The macroeconomic determinants of health. Annu Rev Public Health 23:287–302

    Article  PubMed  CAS  Google Scholar 

  • WHO (2001) Report of the Commission on Macroeconomics and Health. World Health Organisation, Geneva

    Google Scholar 

  • WHO (2004) Health for all database. World Health Organisation, Geneva

    Google Scholar 

  • WHO (2006) Health statistics. http://www.who.int/whosis/whostat2006_ mortality.xls (access: 11 Sept 2006)

Download references

Conflict of interest statement

The author confirms that there are no relevant associations that might pose a conflict of interest.

Author information

Authors and Affiliations

Authors

Corresponding author

Correspondence to Steffen Flessa.

Rights and permissions

Reprints and permissions

About this article

Cite this article

Flessa, S. Investing in health. J Public Health 15, 415–421 (2007). https://doi.org/10.1007/s10389-007-0115-3

Download citation

  • Received:

  • Accepted:

  • Published:

  • Issue Date:

  • DOI: https://doi.org/10.1007/s10389-007-0115-3

Keywords

Navigation