Question 15.33

15.33 Health and wealth. An article entitled “The Health and Wealth of Nations” says, concerning the positive correlation between health and income per capita:

This correlation is commonly thought to reflect a causal link running from income to health. . . Recently, however, another intriguing possibility has emerged: that the health-income correlation is partly explained by a causal link running the other way—from health to income.

Explain how higher income in a nation can cause better health. Then explain how better health can cause higher income. There is no simple way to determine the direction of the link.