Recent research suggests that the two may not be positively related.
Good times seem like they should bring good health. More people have
jobs and health insurance when an economy is growing. Fewer people skip
visits to the doctor to save money or suffer the severe stress that
comes with a layoff. So with job growth now stronger than it has been
since 2000, the country can look forward to some vigorous years, it
might seem.
But that is not quite how the world works, some new research has
found. In fact, a strong economy should probably come with a warning
label. A one-percentage-point fall in the unemployment rate - which is
what has happened since the summer of 2003 - leads to 12,000 deaths a
year in the United States that might not otherwise have happened,
according to Christopher J. Ruhm, an economist at the University of
North Carolina, Greensboro.
When the economy improves, the
number of car and workplace accidents rise, as people are on the job
and on the road more often. Deaths from heart attacks, flu and
pneumonia increase, too. Cancer deaths do not change and suicides fall,
but not by nearly enough to overcome the other increases in mortality.
Smoking
rises, as does obesity, during a boom. Physical activity falls. The
part of the population that drinks remains the same, but some moderate
drinkers become heavy drinkers.
I think this a good example of thinking about the differential impact of economic growth over the short-run and long-run. The short-run costs are the deaths (maybe, I am not sure I agree with the results). The short-run benefits include additional resources available to find cures and treatments for heart attacks, pneumonia, and other health problems. In the long-run, we have less deaths with longer healthier lives. But what is the long-run health costs of economic growth?