IDEAS home Printed from https://ideas.repec.org/a/bcp/journl/v5y2021i1p508-514.html
   My bibliography  Save this article

An Assessment of Public Health Expenditure, Health Outcome and Economic Growth in Nigeria (1980 -2019)

Author

Listed:
  • Ayoade Olabisi Simeon

    (Department of Economics, Obafemi Awolowo University,Ile-Ife, Nigeria)

  • Monica Alagbile Orisadare

    (Department of Economics, Obafemi Awolowo University,Ile-Ife, Nigeria)

  • Adeyemi Taiwo George

    (Department of Economics, Obafemi Awolowo University,Ile-Ife, Nigeria)

  • Adediwura Micheal Olamide

    (Departmwnt of Economics, Adeleke University, Ede, Nigeria)

Abstract

The study assessed the relationship between public health expenditure, health outcome and economic growth in Nigeria between 1980 to 2019. This is due to the relevance of human capital development as a propeller of National development, especially in time like this when the global economy has become knowledge based. ARDL was used to achieve the objective of the study. The result established that there exist a relationship between health human capital development and economic growth in Nigeria. Hence, the short run result for Average Adult Survival Rate shows a positive and significant effect on the economic growth; while the long run result of the same variable shows an insignificant negative effect on the economic growth. The result further revealed a positive and significant relationship between Food Supply and economic growth both in the short run and long run. In the same vein, the result for Population Growth rate shows a positive and significant effect on the economic growth both in the short run and long run. However, the result for Healthcare Expenditure reveal a negative but insignificant effect on the economic growth both in short run and long run; and similarly, the result for Nitro Oxide Emission shows a negative effect on the economic growth both in the short run and long run; and lastly, the result for school enrollment revealed a positive but insignificant effect on the economic growth both in the short run and long run. Based on the research findings of this study, it is recommended that government should redesign her policy toward health care expenditure in particular and human capital development in general; and put in place machineries for implementing and monitoring this policy for effective implementation. Fiscal policy can also be used to improve the allocation and utilization of funds in this sector. In addition, there should be higher investment in health infrastructure and control of diseases that will reduce the death rate in order to reduce the negative effect of the death rate on growth.

Suggested Citation

  • Ayoade Olabisi Simeon & Monica Alagbile Orisadare & Adeyemi Taiwo George & Adediwura Micheal Olamide, 2021. "An Assessment of Public Health Expenditure, Health Outcome and Economic Growth in Nigeria (1980 -2019)," International Journal of Research and Innovation in Social Science, International Journal of Research and Innovation in Social Science (IJRISS), vol. 5(1), pages 508-514, January.
    • Handle: RePEc:bcp:journl:v:5:y:2021:i:1:p:508-514
    as

    Download full text from publisher

    File URL: https://www.rsisinternational.org/journals/ijriss/Digital-Library/volume-5-issue-1/508-514.pdf
    Download Restriction: no
    File URL: https://rsisinternational.org/virtual-library/papers/an-assessment-of-public-health-expenditure-health-outcome-and-economic-growth-in-nigeria-1980-2019/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Rajesh Sharma, 2018. "Health and economic growth: Evidence from dynamic panel data of 143 years," PLOS ONE, Public Library of Science, vol. 13(10), pages 1-20, October.
    2. N. Gregory Mankiw & David Romer & David N. Weil, 1992. "A Contribution to the Empirics of Economic Growth," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 107(2), pages 407-437.
    3. Micheal Kofi Boachie & K. Ramu, 2018. "Distribution of the benefits from public health expenditures in Ghana," Quality & Quantity: International Journal of Methodology, Springer, vol. 52(1), pages 415-430, January.
    4. Grossman, Michael, 1972. "On the Concept of Health Capital and the Demand for Health," Journal of Political Economy, University of Chicago Press, vol. 80(2), pages 223-255, March-Apr.
    5. Burton A. Weisbrod, 1966. "Investing in Human Capital," Journal of Human Resources, University of Wisconsin Press, vol. 1(1), pages 5-21.
    6. Serge Mandiefe Piabuo & Julius Chupezi Tieguhong, 2017. "Health expenditure and economic growth - a review of the literature and an analysis between the economic community for central African states (CEMAC) and selected African countries," Health Economics Review, Springer, vol. 7(1), pages 1-13, December.
    7. World Bank, 2016. "World Development Indicators 2016," World Bank Publications - Books, The World Bank Group, number 23969.
    8. Ahmad, Riayati & Hasan, Junaidah, 2016. "Public Health Expenditure, Governance and Health Outcomes in Malaysia," Jurnal Ekonomi Malaysia, Faculty of Economics and Business, Universiti Kebangsaan Malaysia, vol. 50(1), pages 29-40.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Wycliffe Obwori Alwago, 2023. "The nexus between health expenditure, life expectancy, and economic growth: ARDL model analysis for Kenya," Regional Science Policy & Practice, Wiley Blackwell, vol. 15(5), pages 1064-1085, June.
    2. Micheal Kofi Boachie & K. Ramu & Tatjana Põlajeva, 2018. "Public Health Expenditures and Health Outcomes: New Evidence from Ghana," Economies, MDPI, vol. 6(4), pages 1-25, October.
    3. Micheal Kofi Boachie & Tatjana Põlajeva & Albert Opoku Frimpong, 2020. "Infant Mortality in Low- and Middle-income Countries: Does Government Health Spending Matter?," Journal of Development Policy and Practice, , vol. 5(1), pages 54-73, January.
    4. Isreal, Akingba Idowu Opeoluwa & Kaliappan, Shivee & Hamzah, Hanny Zurina, 2019. "Impact of Health Capital on Total Factor Productivity in Singapore," Jurnal Ekonomi Malaysia, Faculty of Economics and Business, Universiti Kebangsaan Malaysia, vol. 53(2), pages 83-98.
    5. Saad, Suhaila & Mohamed Nor, Norashidah, 2018. "Health Expenditure and Economic Development in Low-and Middle-Income Countries," Jurnal Ekonomi Malaysia, Faculty of Economics and Business, Universiti Kebangsaan Malaysia, vol. 52(3), pages 181-189.
    6. David, Oladipo Olalekan, 2019. "Nexus between telecommunication infrastructures, economic growth and development in Africa: Panel vector autoregression (P-VAR) analysis," Telecommunications Policy, Elsevier, vol. 43(8), pages 1-1.
    7. Burhan, Nik Ahmad Sufian & Mohamad, Mohd Rosli & Kurniawan, Yohan & Sidek, Abdul Halim, 2014. "National Intelligence, Basic Human Needs, and Their Effect on Economic Growth," MPRA Paper 77267, University Library of Munich, Germany.
    8. Annarita BALDANZI & Alberto BUCCI & Klaus PRETTNER, 2016. "The Effects of Health Investments on Human Capital and R&D-Driven Economic Growth," Departmental Working Papers 2016-17, Department of Economics, Management and Quantitative Methods at Università degli Studi di Milano.
    9. Aysit Tansel & Ceyhan Ozturk & Erkan Erdil, 2021. "The Impact of Body Mass Index on Growth, Schooling, Productivity, and Savings: A Cross-Country Study," Koç University-TUSIAD Economic Research Forum Working Papers 2118, Koc University-TUSIAD Economic Research Forum.
    10. Vrachimis Konstantinos & Zachariadis Marios, 2013. "A contribution to the empirics of welfare growth," The B.E. Journal of Macroeconomics, De Gruyter, vol. 13(1), pages 213-244, April.
    11. Matthew Oluwatoyin A. & Adegboye Folasade B. & Fasina Fagbeminiyi F., 2015. "Public Health Expenditure and Health Outcomes in Nigeria," International Journal of Financial Economics, Research Academy of Social Sciences, vol. 4(1), pages 45-56.
    12. Deniz Karaoğlan & Dürdane Şirin Saraçoğlu, 2018. "Socio-Economic Factors Affecting Early Childhood Health: the Case of Turkey," Child Indicators Research, Springer;The International Society of Child Indicators (ISCI), vol. 11(3), pages 1051-1075, June.
    13. Satis C. Devkota & Bishwa Koirala & Kamal P. Upadhyaya, 2017. "Calculation and decomposition of income inequality in low- and middle-income countries: a survey data analysis," Applied Economics, Taylor & Francis Journals, vol. 49(43), pages 4310-4320, September.
    14. Matthias Busse & Ceren Erdogan & Henning Mühlen, 2019. "Structural transformation and its relevance for economic growth in Sub‐Saharan Africa," Review of Development Economics, Wiley Blackwell, vol. 23(1), pages 33-53, February.
    15. N.M. Odhiambo, 2021. "Health Expenditure and Economic Growth in Sub-Saharan Africa: An Empirical Investigation," Working Papers AESRI-2021-05, African Economic and Social Research Institute (AESRI), revised Jan 2021.
    16. Aylar Jalili & Hossein Panahi & Sakineh Sojoodi, 2022. "Investigating the causal relationship between woman's health and economic growth in groups D8 and G7 countries," Quality & Quantity: International Journal of Methodology, Springer, vol. 56(1), pages 359-374, February.
    17. David E Bloom & Michael Kuhn & Klaus Prettner, 2020. "The contribution of female health to economic development [The costs of missing the Millennium Development Goal on gender equity]," The Economic Journal, Royal Economic Society, vol. 130(630), pages 1650-1677.
    18. Naeem AKRAM*, 2017. "Role of Public Debt in Economic Growth of Sri Lanka: An ARDL Approach," Pakistan Journal of Applied Economics, Applied Economics Research Centre, vol. 27(2), pages 189-212.
    19. Juste Som¨¦ & Selsah Pasali & Martin Kaboine, 2019. "Exploring the Impact of Healthcare on Economic Growth in Africa," Applied Economics and Finance, Redfame publishing, vol. 6(3), pages 45-57, May.
    20. Prettner, Klaus & Bloom, David E. & Strulik, Holger, 2013. "Declining fertility and economic well-being: Do education and health ride to the rescue?," Labour Economics, Elsevier, vol. 22(C), pages 70-79.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bcp:journl:v:5:y:2021:i:1:p:508-514. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Dr. Pawan Verma (email available below). General contact details of provider: https://rsisinternational.org/journals/ijriss/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.