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Trade liberalization and child mortality: A Synthetic Control Method

Authors: Olper, Alessandro; Curzi, Daniele; Swinnen, Johan;

Trade liberalization and child mortality: A Synthetic Control Method

Abstract

Abstract We study the effect of trade liberalization on child mortality using data from emerging and developing countries over the 1960–2010 period. To capture possible heterogeneity of effects, we use the Synthetic Control Method (SCM) for comparative case studies. The SCM allows to compare the trajectory of post-reform health outcomes of treated countries (those which experienced trade liberalization) with the trajectory of a combination of similar but untreated countries. On average, trade liberalization significantly reduced child mortality. The average reduction is around 9% ten years after the liberalization. But there is significant heterogeneity in the impact. For the cases for which the SCM could provide a reliable counterfactual, trade liberalization significantly reduced child mortality in approximately half the cases. In most other cases there was no significant effect. In the majority of the significant cases, the reduction in child mortality was more than 20%. On average, trade liberalization reduced child mortality more (a) in democracies compared to autocracies, (b) when incomes were higher and (c) when it reduced taxation of farmers.

Countries
Italy, Belgium
Keywords

Child mortality, Economics, 38 Economics, Child mortality; Synthetic Control Method; Trade liberalization; Geography, Planning and Development; Development3304 Education; Sociology and Political Science; Economics and Econometrics, ECONOMIC-DEVELOPMENT, Social Sciences, Trade liberalization, IN-DIFFERENCES, O24, Business & Economics, INFECTION, F13, Synthetic Control Method, DEVELOPING-COUNTRIES, GLOBALIZATION, 14 Economics, I15, ddc:330, F14, POLICIES, Q18, O57, POVERTY, 16 Studies in Human Society, Child Mortality, 44 Human society, GROWTH, HEALTH, Development Studies, INEQUALITY

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    popularity
    This indicator reflects the "current" impact/attention (the "hype") of an article in the research community at large, based on the underlying citation network.
    Top 10%
    influence
    This indicator reflects the overall/total impact of an article in the research community at large, based on the underlying citation network (diachronically).
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    impulse
    This indicator reflects the initial momentum of an article directly after its publication, based on the underlying citation network.
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selected citations
These citations are derived from selected sources.
This is an alternative to the "Influence" indicator, which also reflects the overall/total impact of an article in the research community at large, based on the underlying citation network (diachronically).
BIP!Citations provided by BIP!
popularity
This indicator reflects the "current" impact/attention (the "hype") of an article in the research community at large, based on the underlying citation network.
BIP!Popularity provided by BIP!
influence
This indicator reflects the overall/total impact of an article in the research community at large, based on the underlying citation network (diachronically).
BIP!Influence provided by BIP!
impulse
This indicator reflects the initial momentum of an article directly after its publication, based on the underlying citation network.
BIP!Impulse provided by BIP!
55
Top 10%
Top 10%
Top 10%
Green
bronze