Abstract:-

Intergenerational transmission of health at birth is affected by maternal circumstances as well as exposure to antenatal healthcare policies. This paper uses a large nationally representative survey data to explicitly estimate heterogeneity in intergenerational transmission of health at birth by maternal circumstance and policy exposure. Using a novel model-based recursive partitioning algorithm from the Machine Learning literature that uses econometric tests for parameter instability, this study identifies different circumstance profiles characterized by varying coefficients of intergenerational health transmission. We also estimate heterogeneity in health transmission by policy exposure within a given circumstance profile. Results exhibit considerable heterogeneity by both short-run and long run markers of maternal health and reveal that a global model for investigating intergenerational transmission is inadequate. Worse-off circumstances have stronger transmissions of maternal health to newborns and only specific antenatal policies have any effect. The results have implications for more targeted policy-making and improve our understanding of how to break intergenerational cycles of ill-health.