1One of the most important studies of the relationship between income and health in the elderly
is a true experiment conducted in Mexico in the late 1990s (Gertler 2000). Under an income
support experiment, entitled PROGRESA, the Mexican government has been providing about
$800 million in aid to 2.6 million rural families, almost one-third of all rural families. The
results showed striking improvements in health for children, adults, and those over age fifty.
Those over age fifty whose only requirement for participation was a yearly preventive checkup
had significant reductions in activity limitations owing to illness, fewer days bedridden due
to sickness, and a more general increase in energy levels as measured by their ability to walk
distances without significant fatigue. Children and adults also showed improved outcomes. But
the independent effect of income on the children’s health due to the medical care requirements
linked to the receipt of income benefits could not be proved. Of course, the limitation of this
study is the fact that it was conducted in a developing country, and it is unclear whether the
results are applicable to a wealthier country.
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