MIGRATION, MEDICAL AID AND WELFARE *
This paper constructs a simple rural-urban migration model that explicitly incorporates the interactions between the individual's migration decision, the risk of incurring an infectious disease and unemployment. We show that providing a subsidy for health investment in urban regions in the form of medical aid does not improve individual welfare. This is because it induces further urban migration, increases the risk of infection and unemployment, and offsets completely the positive cost-reduction effect. Copyright 2007 The AuthorsJournal compilation 2007 Blackwell Publishing Ltd/ University of Adelaide and Flinders University .
Year of publication: |
2007
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Authors: | KUREISHI, WATARU ; TABATA, KEN |
Published in: |
Australian Economic Papers. - Wiley Blackwell. - Vol. 46.2007, 4, p. 329-347
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Publisher: |
Wiley Blackwell |
Saved in:
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