En Français
Harvard School of Public Health Study Finds Vaccines
Boost Economies of Poor Countries
October 14, 2005 - BOSTON, MA —Immunization
programs in impoverished countries not only save lives, they boost
economies, finds a study by researchers with the Harvard School of
Public Health (HSPH) published in the current edition of World Economics.
The study determined that previous measurements of the
benefits of immunization have generally underestimated their economic
value by focusing solely on health-related impacts such as averted
illnesses, hospitalizations, deaths, disability, and medical costs. The
study provides a more thorough investigation of the impacts of
vaccination by looking at its effects on cognitive development,
educational attainment, labor productivity, income, savings,
investment, and fertility. The article is authored by David E. Bloom
and David Canning of HSPH, and Mark Weston of River Path Associates, a
knowledge consultancy based in the UK.
“Our study finds that the benefits of vaccination have
been greatly underestimated. The economic impacts of immunization stem
from the fact that immunization protects individuals not only against
getting an illness per se, but also against the long-term effects of
that illness on their physical, emotional, and cognitive development,”
said David E. Bloom, who is Clarence James Gamble Professor of
Economics and Demography at HSPH. “When kids grow up healthier, they do
better in school and, later, as adults, are more productive, earn more,
and save more. Overall, we found powerful new sources of economic
returns from immunization.”
The study broadens the analysis of immunization’s
benefits by looking at two case studies. The first study estimates the
rates of return in a model program of the Global Alliance for Vaccines
and Immunization (GAVI) and finds that spending on immunization earns a
rate of return of 18 percent. The second case study looks at children
born in the Philippines in 1983-84 and compares the IQs of immunized
children to their non-immunized counterparts. The study controls for
variables such as education yet still finds that immunization is
associated with significantly improved scores on IQ, language, and math
tests.
Both case studies demonstrate that as well as improving
health, vaccines have long-term effects on the development of an
individual. These individual effects, which are produced at a
remarkably low cost, add up to lasting impacts on economies.
“We found that that the rate of return on investments
in immunization is about the same as for primary education, which also
increases the wages of children when they enter the workforce,” said
David Canning, Professor of Economics and International Health at HSPH.
“But this was just one component of the rates of return on vaccination.
If we had calculated the value of savings, averted medical costs,
welfare benefits associated with averted deaths or other effects—in
addition to productivity gains—vaccination would likely blow the socks
off other forms of development aid. The returns on investment in
vaccination are at least as large, and possibly much larger, than the
returns on basic education.”
The new information on the economic returns of
vaccination is particularly timely in light of the just-announced
International Finance Facility for Immunization (IFFIm). Through IFFIm,
the United Kingdom, France, Italy, Spain, and Sweden committed nearly
US$4 billion to support and scale up the work of the GAVI over the next
decade.
The Harvard study on immunization investment was funded by GAVI.
Methodology
Case Study 1 - The Global Alliance for Vaccines and Immunization
The study carried out an analysis of GAVI’s program to
extend the use of the traditional basic childhood vaccination package;
increase coverage of the under-used Hib, hepatitis B, and yellow fever
vaccines; and help finance the introduction of anticipated vaccines
covering pneumococcal disease, rotavirus, and meningococcal A/C
conjugate. The model case is a program that costs $638 million in 2005,
rising to around $748 million in 2020. The study estimates the rates of
return on one of GAVI’s prospective investments and finds that:
- The rate of return is estimated to be 12.4 percent in
2005, rising to 18 percent in 2020 as coverage increases and vaccine
costs decline.
- Children born in 2005 are projected to earn
0.78 percent higher wages on average, while those born in 2020 will
receive 2.39 percent higher wages when they start working, with the
increase over time being due to higher coverage rates as the program
rolls out.
Case Study 2 - Philippines Study
This analysis examined the effects on children’s
cognitive development of efforts in the Philippines to immunize
children with DTP, TB, polio, and measles vaccines. Cognitive
development is an important determinant of adult earnings. The study
involved a sample of 1,975 children from a longitudinal survey of
Filipino women and their children born in the year following 1 May,
1983.
The researchers compared the test scores of children
who had received the basic six vaccines (DTP, polio, measles, and TB)
in the first two years of life with those who had received no
vaccinations. They controlled for other variables that might also
affect test scores. They found that immunization was associated with
significantly improved scores on IQ, language, and mathematics tests.
The effect was stronger for IQ and language than for mathematics.
Harvard School of Public Health is dedicated to
advancing the public's health through learning, discovery, and
communication. More than 300 faculty members are engaged in teaching
and training the 900-plus student body in a broad spectrum of
disciplines crucial to the health and well being of individuals and
populations around the world. Programs and projects range from the
molecular biology of AIDS vaccines to the epidemiology of cancer; from
risk analysis to violence prevention; from maternal and children's
health to quality of care measurement; from health care management to
international health and human rights.
|