TY  - JOUR
AU  - Cutler, David M
AU  - Meara, Ellen
TI  - The Technology of Birth: Is it Worth it?
JF  - National Bureau of Economic Research Working Paper Series
VL  - No. 7390
PY  - 1999
Y2  - October 1999
DO  - 10.3386/w7390
UR  - http://www.nber.org/papers/w7390
L1  - http://www.nber.org/papers/w7390.pdf
N1  - Author contact info:
David M. Cutler
Department of Economics
Harvard University
1875 Cambridge Street
Cambridge, MA  02138
Tel: 617/496-5216
Fax: 617/496-8951
E-Mail: dcutler@harvard.edu

Ellen Meara
Department of Health Management and Policy
677 Huntington Avenue
Kresge 404
Boston, MA 02115
Tel: 617/432-4325
E-Mail: emeara@hsph.harvard.edu
M1  - published as David M. Cutler, Ellen Meara. "The Technology of Birth: Is It Worth It?," in Alan M. Garber, editor, "Frontiers in Health Policy Research, Volume 3" MIT Press (2000)

AB  - We evaluate the costs and benefits of increased medical spending for low birth weight infants.  Lifetime spending on low birth weight babies increased by roughly $40,000 per birth between 1950 and 1990.  The health improvements resulting from this have been substantial.  Infant mortality rates fell by 72 percent over this time period, largely due to improved care for premature births. Considering both length and quality of life, we estimate the rate of return for care of low birth weight infants at over 500 percent.  Although prenatal care and influenza shots are more cost effective than neonatal care, this is significantly more cost effective than other recent innovations such as coronary artery bypass surgery, treatment of severe hypertension, or routine pap smears for women aged 20-74.  We conclude that the answer to the question posed in this paper is a resounding 'Yes'.
ER  -