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Epidemics and Economics
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Epidemics and Economics

New and resurgent infectious diseases can have far-reaching economic repercussions

David E. Bloom, Daniel Cadarette and JP Sevilla
Finance & Development , 2018
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Recommendation

The suffering of individuals during outbreaks of viruses such as Ebola and Zika is devastating, but these and other diseases, such as influenza, malaria and tuberculosis, can have lasting and widespread effects on economic growth. In this illuminating article, health care experts David E. Bloom, Daniel Cadarette and JP Sevilla sketch the direct and indirect costs – and their uneven impacts among populations – of epidemics and suggest some straightforward cost-containment ideas. getAbstract recommends this frank overview to health care and human resources professionals.

Take-Aways

  • Epidemics, pandemics and outbreaks of disease impose direct financial burdens, and they inflict indirect costs, in terms of lost wages and lower productivity.
  • Like natural disasters, epidemics are difficult to predict and control. Urbanization, climate change and drug resistance contribute to the spread of disease. 
  • Policy makers can mitigate the health risks of epidemics by investing in sanitary infrastructure, supporting good health care and nutrition practices, and backing disease monitoring systems in human and animal populations.

About the Authors

David E. Bloom is a professor at Harvard University’s T.H. Chan School of Public Health, where Daniel Cadarette is a research assistant and JP Sevilla is a research associate. 

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