By Stark O.
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Economic Journal 101: 1400±17. '' Journal of Political Economy 97: 905±26. '' American Economic Review (Papers and Proceedings) 79: 86±90. Titmuss, Richard (1970) The Gift Relationship: From Human Blood to Social Policy. London: George Allen and Unwin. Wilson, Edward O. (1975) Sociobiology: The New Synthesis. Cambridge, MA: Harvard University Press. 1 Even though associations do not reveal causality, in this case one explanation of the association is as transparent as the association itself: countries that master means and resources to provide more and higher-quality health and health related services end up having longer-lived residents.
1), the output produced in the nonfarm sector is Lt f 1. The output produced in the farm sector at time t is Ytf y~N. 8), an increase in life expectancy increases the stationary per capita output in the economy (that is, d yad 1 À b 0. Proof: See appendix. Corollary: Consider a world that consists of countries which are identical in all respects except for the life expectancy of their populations. 8), the per capita income is higher in countries in which life expectancy is longer. A2), aggregate as well as per capita output in the nonfarm sector increase with life expectancy.
The output of the nonfarm sector produced at time t, Ytnf , is Ytnf f Lt Lt f 1Y 2X1 where Lt is the quantity of labor, measured in ef®ciency units, employed at time t. The production function f X R 3 R is twice continuously differentiable, f H Lt b 0 and f HH Lt 0 VLt ! 0, and f 0 0. The market for ef®ciency units of labor is perfectly competitive. 3 The marginal productivity of an additional unit of labor is lower than that in the nonfarm sector. Furthermore, land changes hands only through intrafamilial, intergenerational transfers.
Altruism and beyond by Stark O.
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