Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/263436 
Year of Publication: 
2022
Series/Report no.: 
IZA Discussion Papers No. 15220
Publisher: 
Institute of Labor Economics (IZA), Bonn
Abstract: 
This paper investigates the returns to health care provision during the mortality transition. We construct a new panel data set covering German municipalities from 1928 to 1936. The endogeneity of health care supply is addressed by using the expulsion of Jewish physicians from statutory health insurance as exogenous variation in regional physician supply. Increases in the supply of physicians reduce infant mortality and mortality from common childhood diseases. Using a semiparametric control function approach, we find diminishing marginal returns to health care provision. The results are consistent with historical trends in infant mortality over the 20th century.
Subjects: 
infant mortality
physicians
health care supply
mortality transition
semiparametric IV
JEL: 
I10
I18
N34
Document Type: 
Working Paper

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