Scucca,

Christopher Ruhm's article is an interesting one. Given the ongoing economic downturns in Europe and in the United States, it arguably has added relevance.

For those who have not read the article, Ruhm documents an inverse relationship between macroeconomic conditions and health. He finds that for every 1% increase in the unemployment rate relative to its historic average, mortality declined by about 0.5% to 0.6%. He also noted that similar effects were found in national recessions and more localized downturns.

Some potential reasons cited by Ruhm for his findings included:

1. Economic upturns reduce leisure time, "making it more costly to undertake health-producing activities" e.g., exercise.

2. The incidence of work-related accidents increases during "temporary expansions."

3. Adverse health impacts could result from greater direct exposure to hazardous work conditions during "short-lasting economic expansions."

4. Reduced pollution from lowered economic output during downturns could lead to improved health outcomes.

Nevertheless, it is important to emphasize that Ruhm is comparing health outcomes between recessions and short-lived expansions (the business cycle not the secular or long-term trend for growth). He is not arguing that sustained long-term growth, which provides improved technologies, expanded scientific and medical knowledge, enhanced working conditions, among other benefits, does not enhance health outcomes. In fact, he writes, "...there is some evidence that sustained economic growth may improve health, even while short-lasting expansions worsen it." He also observes, "The evidence for developing countries strongly supports the prediction that lasting economic growth leads to better health."

Source: Christopher J. Ruhm, "Are Recessions Good for Your Health?" The Quarterly Journal of Economics, May 2000, pp.617-650.