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Health expenditure, longevity, and child mortality: dynamic panel data approach with global data

Author

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  • Devdatta Ray

    (University of Eastern Finland (UEF Kuopio Campus))

  • Mikael Linden

    (University of Eastern Finland (UEF Kuopio Campus))

Abstract

In this study, effects of public and private health expenditures on life expectancy at birth and infant mortality are analysed on a global scale with 195 countries in the years 1995–2014. The global data set is divided into country categories according to growth in life expectancy, decrease in infant mortality rate, and level of gross national income per capita. Some new dynamic panel model estimators, argued to be more efficient with high persistence series and predetermination compared to popular but complex GMM estimators, show that public health expenditures are generally more health-promoting than private expenditures. However, the health effects are not as great as primary education effects. Although the new estimators provide some new and valuable information on health expenditure effects on life expectancy and infant mortality on a global scale, they do not show desired robustness.

Suggested Citation

  • Devdatta Ray & Mikael Linden, 2020. "Health expenditure, longevity, and child mortality: dynamic panel data approach with global data," International Journal of Health Economics and Management, Springer, vol. 20(1), pages 99-119, March.
    • Handle: RePEc:kap:ijhcfe:v:20:y:2020:i:1:d:10.1007_s10754-019-09272-z
    DOI: 10.1007/s10754-019-09272-z
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    2. Beatrice Patricia Oberkner & Marius Cristian Milos, 2022. "Analysis of the Linkage Between Health Public Expenditures and Health Outcomes at the European Union Level," Ovidius University Annals, Economic Sciences Series, Ovidius University of Constantza, Faculty of Economic Sciences, vol. 0(1), pages 943-947, September.
    3. Zeynep Ceylan & Abdulkadir Atalan, 2021. "Estimation of healthcare expenditure per capita of Turkey using artificial intelligence techniques with genetic algorithm‐based feature selection," Journal of Forecasting, John Wiley & Sons, Ltd., vol. 40(2), pages 279-290, March.
    4. Sanmarchi Francesco & Esposito Francesco & Bucci Andrea & Toscano Fabrizio & Golinelli Davide, 2021. "Association between Economic Growth, Mortality, and Healthcare Spending in 31 High-Income Countries," Forum for Health Economics & Policy, De Gruyter, vol. 24(2), pages 101-118, December.
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    6. Ronald Miranda‐Lescano & Leonel Muinelo‐Gallo & Oriol Roca‐Sagalés, 2023. "Human development and decentralization: The importance of public health expenditure," Annals of Public and Cooperative Economics, Wiley Blackwell, vol. 94(1), pages 191-219, March.
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    More about this item

    Keywords

    Health expenditures; Low and high incomes; Life expectancy; Dynamic panel methods;
    All these keywords.

    JEL classification:

    • I15 - Health, Education, and Welfare - - Health - - - Health and Economic Development
    • I18 - Health, Education, and Welfare - - Health - - - Government Policy; Regulation; Public Health
    • H51 - Public Economics - - National Government Expenditures and Related Policies - - - Government Expenditures and Health
    • C30 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - General

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