Journal of Economic Perspectives
ISSN 0895-3309 (Print) | ISSN 1944-7965 (Online)
The Economics of HIV/AIDS in Low-Income Countries: The Case for Prevention
Journal of Economic Perspectives
vol. 20,
no. 3, Summer 2006
(pp. 121–142)
(Complimentary)
Abstract
There are two approaches to reducing the burden of sickness and death associated with the human immunodeficiency virus (HIV), which leads to acquired immunodeficiency syndrome (AIDS): treatment and prevention. Despite large international aid flows for HIV/AIDS, the needs for prevention and treatment in low- and middle-income countries outstrip the resources available. Thus, it becomes necessary to set priorities. With limited resources, should the focus of efforts to combat HIV/AIDS be on prevention or treatment? I discuss the range of prevention and treatment alternatives and examine their cost effectiveness. I consider various arguments that have been raised against the use of cost-effectiveness analysis in setting public policy priorities for the response to HIV/AIDS in developing countries. I conclude that promoting AIDS treatment using antiretrovirals in resource-constrained countries comes at a huge cost in terms of avoidable deaths that could be prevented through interventions that would substantially lower the scale of the epidemic.Citation
Canning, David. 2006. "The Economics of HIV/AIDS in Low-Income Countries: The Case for Prevention." Journal of Economic Perspectives, 20 (3): 121–142. DOI: 10.1257/jep.20.3.121JEL Classification
- I12 Health Production
- I18 Health: Government Policy; Regulation; Public Health
- O15 Economic Development: Human Resources; Human Development; Income Distribution; Migration
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