effects hiv/aids on  economy
AIDS has the potential to create severe economic impacts in many African countries. It is. different from most other diseases because it strikes people in the most productive age. groups and is essentially 100 percent fatal. The effects will vary according to the severity. of the AIDS epidemic and the structure of the national economies. The two major. economic effects are a reduction in the labor supply and increased costs: Labor Supply. â¢ The loss of young adults in their most productive years will affect overall. economic output.
A World Bank study of the economic impacts of AIDS in Africa concluded that the. macroeconomic impacts of AIDS could be significant.1 Yet there is still time to mitigate. the economic impact of AIDS; over half of Africaâs population live in countries where.