Essay Example on This study examines the effect of abolishing user fees from Health

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This study examines the effect of abolishing user fees from health care services on fertility and educational attainment Important policy implications of our findings are i parents in developing countries successfully adjust their fertility behavior in response to increased returns to child learning and ii health policy serves as a motivating force underlying the demographic transition and human capital development The mechanism we focused in that article is different from those of the presented observed studies in three discrete aspects First an economic theories have recognized the decrease in fertility to historical changes in factors increasing the opportunity costs of a every new child namely the price of child quantity for example to increased grown up wages and important womenâ s status Second we discard light on a method linking simultaneous adjustments of fertility to predict the future welfare of children while in most preceding literature focus on adjustments to simultaneous economic conditions practical proof available regarding whether parents in the developing world make current behavior respond future economic reason 



Third we founded the precise health policy as generate for the analytical change over namely the abolition of user fees from healthcare services in the result of the unmaking discrimination in 1994 in South Africa MODEL The quantity quality tradeoff model The parental utility function child quantity n and quality q in which parents choose the best possible n and q simultaneously Max ð ˆ ð ˆ ð ð ž ð â â 1 ð is a bundle of other goods and services subject to the budget constraint ð Œ ð œ ð ð ð œ ð žð ž ð ð ž ð žð ð ð x â â 2 VARIABLES AND RESULT OF THE MODEL EQUATION where ð Œ is the household income ð œ ð ð assign to expenditures on children that depend on quantity ð but not on quality ð ž ð œ ð žð ž mean that is independent from quantity ð ð ð ž is the cost of quality of each child assume that child quality is the same for all children of the family with ð â ² ð ž 0 and ð ð is cost of the unit of ð The important exchange between child quantity and quality Specially the first equation shows that the raise in child quality ð ž would increase in additional costs on additional children the cover price of quantity is ð ð and in second equation an increase in the number of children ð would increase in the additional costs of investing in the child quality the cover price of quality ð ð ž Price of quality investments Conclusion We study that the impact of abolishing user fees as health services on fertility and educational outcomes as a test of child quantity quality tradeoff when the price of quality investment is decreased We take benefit on past study of South Africaâ s different communities that gives external changes on health changes on individuals whose extent nature or else same

We conclude information to support the QQ model educational investments rise up as a effect of refined health status and fertility drop We founded the powerful explanation These results acts the different important policy conclusions to the other developing countries aim that abolition of user fees First the impacts of increased connection with health services are unlimited to improve the short time period health status which explained in past work by Tanaka 2014 and also take the long time period impacts on educational achievements Second health policy shows the useful work to control population growth Referenced article Child Labor Fertility and Economic Growth Moshe Hazan and Binyamin Berdugo Abstract In this paper we analyze the growth of child labor fertility and human capital in the process of development At the starting of development of the economy on a development way where child labor is sufficient fertility increases and output per capita is decreases Technological progress yet rises constantly the wage between parental and child labor so activate parents to replace child education for child labor and decrease fertility The economy arrived to constant growth states equilibrium where child labor abolishing and fertility is reduced Restriction on child labor speed the growth process and create Pareto dominating reaction



The Basic Structure of the Model Consider a small open overlapping generations economy that operates in a perfectly competitive world and faces a given world rate of interest Time is infinite and discrete Three factors of production exist in the economy physical capital raw units of labor and efficiency units of labor The production function of the traditional sector is Y1 t WL The modern production function satisfies all the neoclassical assumptions and is given Y2 t F Kt Î tHt CONCLUSION Technological progress after all raised the wage differential between parental and child labor decreases the welfare from child labor and yet permission an arrival out of the development temptation We also disagree with the competitive equilibrium is not Pareto efficient due to the cases on children do not have approached the capital market and absence of compulsion of intergenerational contracts We gave the suggestion of a policy that not only Pareto influences the competitive conclusion but it also promotes the arrival out of the poverty temptation towards the high durable state Anyhow dissimilarities in this model we consider here an open economy and thus a change in the supply of labor did not effect on wages Hence we suggested that the redistribution of taxation to repay parents for the destined earnings of their children Our result about the negative relation between fertility and income is absolute in the literature


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