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Disbelief in Future and Investment in Capital Health: Analysis on the Base of RLMS Data

Student: Marina Riabova

Supervisor: Ivan V. Rozmainsky

Faculty: St.Petersburg School of Economics and Management

Educational Programme: Applied Economics and Mathematical Methods (Master)

Year of Graduation: 2018

In this paper, we have devoted our research to the concept of investments in health capital and the reasons why the individuals make a choice in favor of positive or negative investments. The result of this type of investment is hard to predict, as the result of investment in health comes out in a long time. Because of this, it is often difficult for a person to make a choice in favor of positive investments in his health capital. We have attempted to link the low life expectancy in Russia relative to other countries with the number of negative investments that people make on a voluntary basis, unaware of their disastrous impact on their body. We also tried to test the hypothesis that one of the significant causes of alcoholism in modern Russia is investment myopia as a consequence of disbelief in the future.

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