The Association between HIV and Labor Market Participation in the Southern African Development Community

I-Heng Lee, University of North Carolina at Chapel Hill
Sally Stearns, University of North Carolina at Chapel Hill
Charles Becker, Duke University
Harsha Thirumurthy, University of North Carolina at Chapel Hill

For many years, the number of HIV/AIDS-related deaths in developing countries has been increasing at such an alarming rate that it is no longer whether it will be an epidemic, but rather how severe the epidemic will be. Without widespread treatment for HIV positive individuals, the deterioration of health and reduced life span associated with the epidemic is likely to worsen levels of human capital. Using Demographic and Health Survey data from Lesotho, Malawi, Swaziland, and Zimbabwe, this study identifies the association between being HIV positive and labor market participation, which affects economic outcomes. Results show a significant negative association between being HIV positive and currently working, as well as having worked in the past 12 months, for men and women. The findings have important implications for the macroeconomic stability and growth of the countries under investigation, suggesting a need for financial assistance for HIV positive individuals and their households.