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Out-of-Pocket Health Expenditure: Impact on the Consumption of Indian Households

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  • Rama Pal

Abstract

This paper examines whether out-of-pocket health expenditure affects the composition of household consumption. Based on Indian data, conditional Engel curves for 10 broad categories of goods and services, namely food, intoxicants, fuel, clothing and footwear, education, entertainment, travel, rent, durables and other goods have been estimated. Conditional Engel curves show whether the share of a particular good is increased or decreased in household consumption due to health expenditure. The findings suggest that poor households decrease the share of clothing and education and increase the share of food, fuel and travel. It has also been found that households from less developed states and from states with lower public health expenditure were more affected.

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  • Rama Pal, 2013. "Out-of-Pocket Health Expenditure: Impact on the Consumption of Indian Households," Oxford Development Studies, Taylor & Francis Journals, vol. 41(2), pages 258-279, June.
    • Handle: RePEc:taf:oxdevs:v:41:y:2013:i:2:p:258-279
    DOI: 10.1080/13600818.2013.794897
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    Cited by:

    1. Kumara, Ajantha Sisira & Samaratunge, Ramanie, 2017. "Impact of ill-health on household consumption in Sri Lanka: Evidence from household survey data," Social Science & Medicine, Elsevier, vol. 195(C), pages 68-76.
    2. Xiaoyu Wang & Chunan Wang, 2020. "How Does Health Status Affect Marginal Utility of Consumption? Evidence from China," IJERPH, MDPI, vol. 17(7), pages 1-20, March.
    3. Anushree S. Panikkassery, 2020. "Impact of Out of Pocket Health Expenditure on Consumption Pattern of Below Poverty Line Households in India," Millennial Asia, , vol. 11(1), pages 27-53, April.
    4. Pushpendra Singh & Virendra Kumar, 2017. "The Rising Burden of Healthcare Expenditure in India: A Poverty Nexus," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 133(2), pages 741-762, September.
    5. Biplab Kumar Datta & Muhammad Jami Husain & Sohani Fatehin & Deliana Kostova, 2018. "Consumption displacement in households with noncommunicable diseases in Bangladesh," PLOS ONE, Public Library of Science, vol. 13(12), pages 1-12, December.

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