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Quantile panel-type analysis for income inequality and healthcare expenditure

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  • Kuan-Min Wang
  • Thanh-Binh Nguyen Thi

Abstract

This study investigates the causal relationship between Income Inequality and Healthcare Expenditure within a quantile panel-type causality framework using yearly panel data from 2004 to 2017. The empirical results show that within the high-growth regime of health expenditure to income ratio, reducing the deterioration of income inequality can make the ratio of health expenditure to income keep increasing. Besides, within the extreme income inequality regime, the ratio of health expenditure to income continues to increase, which can reduce the deterioration degree of income inequality. This paper presents evidence that to improve the continuous deterioration of income inequality; it should focus on the continuous increase in the ratio of health expenditure to income, not just the continuous increase in health expenditure. Accordingly, policy-makers should be cautious about the momentum between the ratio of health expenditure to income and income inequality when they reach the extremely quantiles.

Suggested Citation

  • Kuan-Min Wang & Thanh-Binh Nguyen Thi, 2022. "Quantile panel-type analysis for income inequality and healthcare expenditure," Economic Research-Ekonomska Istraživanja, Taylor & Francis Journals, vol. 35(1), pages 873-893, December.
    • Handle: RePEc:taf:reroxx:v:35:y:2022:i:1:p:873-893
    DOI: 10.1080/1331677X.2021.1948436
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    Cited by:

    1. R.M.N.N. Senavirathna & R.M.N.S. Senavirathna, 2023. "Healthcare Expenditures Across Household Headship and Expenditure Quintiles: Insights From a Household Survey," International Journal of Research and Innovation in Social Science, International Journal of Research and Innovation in Social Science (IJRISS), vol. 7(3), pages 117-131, March.

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