The Determinants of Perceived Health and Labour Force Participation of People with HIV/AIDS in Khayelitsha, South Africa

This paper examines the impact of Highly Active Antiretroviral Treatment (HAART) on perceived health and labour force participation of people living with HIV/AIDS in Khayelitsha, South Africa. Cox Proportional Hazard Models with stratum effects for three medical clinics, and Accelerated Failure Time Models with individual specific unobserved shared effects (frailty), are estimated for transitions to improved perceptions of health, and transition in and out of the labour market, using a longitudinal data set. We find that HAART has a positive impact on perceived health, and restored health leads to greater activity in the labour market.