1. Physical Activity, Health & Economic Outcomes
Ajay Mahal, Monash University
February 11, 2014

2. Outline
• Linking Physical Activity to Economic
Outcomes
• So Why Don’t People Exercise More?
• Key Research Gaps

3. I.
Physical Activity & Economic
Outcomes
•
Physical Activity Indirectly Impacts
Economic Outcomes via Health
•
Physical Activity directly impacts
Economic Outcomes

4. Health and Economic Outcomes
• Labour Market Effects of Ill Health
Poor Health and Lower Productivity
Poor Health and Work Force Participation
(Ill Person, Caregiver, Income Generation)
• Expenses associated with Ill Health

5. Obesity Penalty: % Body Fat versus Earnings
Evidence from the US
(Source: Tome
2010)

6. SRH and Labour Force Participation in Australia,
15-59 years, 2001
Sources: Kavetsos 2011, Morris 2006, Cai 2006)

7. Adult Employment (%) is Lower in Households with
Members with Chronic Disease in India, 2004
Variables
Households
Matched
With Chronic Households
Condition
Heart Disease
43.61
46.38
Cancer
48.50
51.82
Mahal et al (2013); Mahal et al (2014)

8. Out of Pocket Spending on Cancer by Indian Households, 2004
Source: Mahal et al. (2013)
Variables
Households With
Cancer
Matched
Households
118.33
44.77
OOP Expenditure on
individuals without cancer
(15-day period) (INR)
38.30
48.98
OOP Expenditure on
conditions other than
cancer (15-day period, INR)
15.54
28.83
OOP Spending in 15-day
reference period (INR)

9. Physical Activity and Health
Physiological influence of Physical Activity (PA):
cognitive ability
physical functionality
energy levels/motivation
(Angevaren 2008)
(Maiorana 2001)
(Puetz 2006)
mental ill health
risk chronic conditions
all-cause mortality (dose-response)
(Dunn 2001)
(Warburton 2006)
(Bauman 2003)

10. Physical Inactivity main cause globally
for:
•21-25% breast and colon cancers
•27% diabetes mellitus
•30% ischaemic heart disease
(WHO 2013)

11. Effect of sports activity on over 16
year period in Europe (2000 Euros)
(Source: Lechner 2006)

12. Direct Effects:
Physical Activity and Appearance
• Fitness-related facial cues create the same
impressions as faces that vary in
attractiveness
• Fitness creates a perception as being more
outgoing, socially competent, intelligent, and
healthy
(Lakdawalla 2006, Zebrowitz 2008)

13. II. So Why Don’t People Exercise More?
Health: Illness, Overweight/Obesity
Demographics: Older Ages, Women, Families with Infant
Children
Socioeconomic Status: Educational Attainment, Income,
Opportunity cost of time
Psychological/Cultural: Belief in Sporting Ability,
Deemphasize athletic endeavours
Environment: Availability of Facilities, Networks

14. US Adults meeting Federal Physical
Activity Guidelines
Population Group
Prevalence, 2011
(Age ≥ 18y), %
Total (Both sexes)
21.0
All Males
24.9
All Females
17.1
Non-Hispanic White only
23.0
Non-Hispanic Black only
18.0
Hispanic or Latino
15.4
American Indian/Alaskan Native only
17.0
Asian only
16.7
(Go 2012)

15. III. Key Research Gaps in Low- and MiddleIncome Countries
• Economic Outcomes: Research on Physical
Activity and its Implications for Economic
Outcomes (particularly labor market outcomes)
in Low- and Middle-Income Countries
• Economic Roots of Physical Inactivity (income
and occupational status, neighbourhood
effects, migrant workers, urbanization)
• Evaluation of Interventions/Policies