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Full text PDF - International Policy Network

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xivFighting the Diseases of Povertynutrition, for example, allows working adults to be more productiveat work and to spend more time generating income. Proper nutritionamongst children improves their cognitive and physical abilityas adults, helping to ensure that the future adult population is economicallyproductive.Healthier people who live longer also have stronger incentives toinvest capital in developing their skills, because they expect toaccrue the benefits over longer periods. So, for example, if a child ismore likely to make it to adulthood, the risk of investing in its educationis reduced. So parents are more likely to make such investments,which tend to raise productivity, and hence income, inadulthood. Improved child health can also reduce the economicburden on both families and governments, freeing up resources forinvestment elsewhere (Karoly et al., 1998).Free trade and healthFree trade is the final part of this ‘cycle of progress.’ Increased crossbordertrade is directly and causatively associated with economicgrowth (Dollar, 1995; Dollar & Kraay, 2001; Frankel & Romer, 1999;Sachs & Warner, 1995), which, as we have seen, is directly beneficialto health. <strong>International</strong> trade also expands competition, forcingcompanies to innovate and drive costs down in order to gain newcompetitive advantages. This helps to bring newer, better productsto more people at lower costs, a process which also explains whymedical technology continues to advance at an incredible pace.Free trade also facilitates the spread of ideas, knowledge andtechnology across borders. The discovery by John Snow in Londonin 1854 that cholera is spread by contaminated water was to havesignificant implications for the prevention of infectious diseasesthroughout the world. This knowledge gradually filtered fromLondon throughout Europe, leading city authorities to upgrade theirwater and sewage systems in order to prevent human waste contaminatingwater supplies (Williamson, 1990). Today, germ theory iswidely understood and recognised by public health authorities allover the world as an important tool for fighting disease.

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