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Cover IMF Working Papers
Welfare Implications of HIV/AIDS
Mr. Markus Haacker and Mr. N. F. R. Crafts
The paper evaluates the impact of HIV/AIDS on welfare in several countries affected by the HIV/AIDS epidemic. Unlike studies focusing on the impact of HIV/AIDS on GDP per capita, we evaluate the impact of increased mortality using estimates of the value of statistical life. Our results illustrate the catastrophic impact of HIV/AIDS in the worst-affected countries and suggest that studies focusing on GDP and income per capita capture only a very small proportion of the welfare impact of HIV/AIDS.
Keywords:
WP; life expectancy; Welfare; HIV/AIDS; value of statistical life; Africa; adult HIV prevalence rate; income elasticity; mortality risk; welfare loss; no-AIDS scenario; HIV and AIDS; Personal income; Aging