Determinants of public health expenditure in sub-Saharan Africa

Authors

DOI:

https://doi.org/10.18559/rielf.2021.2.6

Keywords:

public health expenditure, GDP, health status, GMM, LSDVC, sub-Saharan Africa

Abstract

The objective of this paper is to analyze the determinants of public health expenditure in sub-Saharan Africa. To this end, a dynamic panel model was used for a sample of 32 sub-Saharan African countries covering the period 2009 to 2018, which was then subdivided into four subgroups for further analysis. The fixed effect model estimation and the SGMM estimator approach were used to obtain the results in the African context. However, the LSDV-corrected estimator was used for the results for the different regions. The estimation results show that public health expenditure is mainly positively influenced by gross domestic product, policies that aim to improve the health status of the population as measured by infant and child mortality rates, the proportion of the population under 15 years of age, and the population density in rural areas.

Downloads

Download data is not yet available.

References

Akbari, A. H., Rankaduwa, W., & Kiani, A. K. (2009). Demand for public health care in Pakistan. The Pakistan Development Review, 48, 141–153.
View in Google Scholar

Alimi, O. Y., Ajide, K. B., & Isola, W. A. (2020). Environmental quality and health expenditure in ECOWAS. Environment, Development, Sustainability, 22, 5105–5127.
View in Google Scholar

Ametoglo, M. E. S., Guo, P., & Wonyra, K. O. (2018). Regional integration and income inequality in ECOWAS Zone. Journal of Economic Integration, 33, 604–627
View in Google Scholar

Ang, J. (2010). The determinants of health care expenditure in Australia. Applied Economics Letters, 17, 639–644.
View in Google Scholar

Beegle, K. & Christiaensen, L. (2019). Accelerating poverty reduction in Africa. Washington, DC: World Bank. https://doi.org/10.1596/978-1-4648-1232-3
View in Google Scholar

Binuomoyo, O. (2016). Determinants of public health investment expenditures in Nigeria: A review. Journal of Social Economics, 3, 82–85.
View in Google Scholar

Boachie, M. K., Mensah, I. O., Sobiesuo, P., Immurana, M., Iddrisu, A.-A., & Kyei-Brob- bey, I. (2014). Determinants of public health expenditure in Ghana: A cointegration analysis. Journal of Behavioural Economics, Finance, Entrepreneurship, Accounting and Transport, 2, 35–40.
View in Google Scholar

Bruno, G. S. F. (2005). Approximating the bias of the LSDV estimator for dynamic unba- lanced panel data models. Economics Letters, 87, 361–366.
View in Google Scholar

Bun, M. J. G., & Kiviet, J. F. (2003). On the diminishing returns of higher-order terms in asymptotic expansions of bias. Economics Letters, 79, 145–152.
View in Google Scholar

Busse, R. (2001). Expenditure on health care in the EU: Making projections for the future based on the past. The European Journal of Health Economics, 2, 158–161.
View in Google Scholar

Di Matteo, L. (2005). The macro determinants of health expenditure in the United States and Canada: Assessing the impact of income, age distribution and time. Health Policy, 71(1), 23–42. https://doi.org/10.1016/j.healthpol.2004.05.007
View in Google Scholar

Di Matteo, L., & Di Matteo, R. (1998). Evidence on the determinants of Canadian provincial government health expenditures: 1965–1991. Journal of Health Economics, 17(2), 211–228. https://doi.org/10.1016/s0167-6296(97)00020-9
View in Google Scholar

Felder, S., Meier, M., & Schmitt, H. (2000). Health care expenditure in the last months of life. Journal of Health Economics, 19(5), 679–695. https://doi.org/10.1016/s0167-6296(00)00039-4
View in Google Scholar

Gbesemete, K. P., & Gerdtham, U.-G. (1992). Determinants of health care expenditure in Africa: A cross-sectional study. World Development, 20, 303–308.
View in Google Scholar

Grossman, M. (1972). On the concept of health capital and the demand for health. Journal of Political Economy, 80, 223–255.
View in Google Scholar

Hao, Y., Liu, S., Lu, Z.-N., Huang, J., & Zhao, M. (2018). The impact of environmental pollution on public health expenditure: Dynamic panel analysis based on Chinese provincial data. Environmental Science and Pollution Research, 25, 18853–18865.
View in Google Scholar

Hitiris, T., & Posnett, J. (1992). The determinants and effects of health expenditure in developed countries. Journal of Health Economics, 11(2), 173–181. https://doi.org/10.1016/0167-6296(92)90033-w
View in Google Scholar

Keeler, E. B., Newhouse, J. P., & Phelps, C. E. (1977). Deductibles and the demand for medical care services: The theory of a consumer facing a variable price schedule under uncertainty. Econometrica, 45, 641–655.
View in Google Scholar

Kiymaz, H., Akbulut, Y., & Demir, A. (2006). Tests of stationarity and cointegration of health care expenditure and Gross Domestic Product: An application to Turkey. The European Journal of Health Economics, 7, 285–289.
View in Google Scholar

Muurinen, J. (1982). Demand for health. A generalised Grossman model. Journal of Health Economics, 1, 5–28.
View in Google Scholar

Mwabu, G., & Wang’Ombe, J. (1998). Financing rural health services in Kenya. Population Research and Policy Review, 17, 55–70.
View in Google Scholar

Newhouse, J. P. (1977). Medical care expenditure: A cross-national survey. The Journal of Human Resources, 12, 115–125.
View in Google Scholar

Okeke, J. U., & Okeke, E. N. (2016). Least squares dummy variable in determination of dynamic panel model parameters. European Journal of Engineering and Technology Research, 11, 77–81.
View in Google Scholar

Okunade, A. A. (2005). Analysis and implications of the determinants of healthcare expenditure in African countries. Health Care Management Science, 8, 267–276.
View in Google Scholar

OMS. (2018). État de santé dans la région Africaine de l’OMS: Analyse de la situation sanitaire, des services et des systèmes de santé dans le contexte des objectifs de développement durable. Organisation Mondiale de la Santé. Bureau régional de l’Afrique.
View in Google Scholar

OMS. (2019). Nouveau rapport sur les dépenses en santé dans le monde. Organisation Mon- diale de la Santé., World Health Organisation.
View in Google Scholar

Rana, R. H., Alam, K., & Gow, J. (2020). Health expenditure and gross domestic product: Causality analysis by income level. International Journal of Health Economics and Management, 20, 55–77.
View in Google Scholar

Roodman, D. (2009). A note on the theme of too many instruments. Oxford Bulletin of Economics and Statistics, 71, 135–158.
View in Google Scholar

Schieber, G. J., Gottret, P., Fleisher, L. K., & Leive, A. A. (2007). Financing global health: Mission unaccomplished. Health Affairs, 26, 921–934.
View in Google Scholar

Serge, P., & Tieguhong, J. (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, 7, 1–13.
View in Google Scholar

Siddiqui, R., Afridi, U., Haq, R., & Tirmazi, S. H. (1995). Determinants of expenditure on health in Pakistan. The Pakistan Development Review, 34, 959–970.
View in Google Scholar

Tizio, S., & Flori, Y.-A. (1997). L’initiative de Bamako: « Santé pour tous » ou « Maladie pour chacun »? Revue Tiers Monde, 38, 837–858.
View in Google Scholar

Toor, I. A., & Butt, M. S. (2005). Determinants of health care expenditure in Pakistan. Pakistan Economic and Social Review, 43, 133-150.
View in Google Scholar

Wagstaff, A. (1986). The demand for health: Theory and applications. Journal of Epidemiology and Community Health, 40, 1–11.
View in Google Scholar

Wang, Z. (2009). The determinants of health expenditures: Evidence from US state-level data. Applied Economics, 41, 429–435.
View in Google Scholar

World Development Indicators (WDI). (2019). World Development Indicators. DataBank. Zweifel, P., Felder, S., & Meiers, M. (1999). Ageing of population and health care expenditure: A red herring?. Health Economics, 8(6), 485–496. https://doi.org/10.1002/(sici)1099-1050(199909)8:6<485::aid-hec461>3.0.co; 2-4
View in Google Scholar

Downloads

Published

2021-12-30

Issue

Section

Articles

How to Cite

Tsomdzo, K. A. D., Sanoussi, Y., & Wonyra, K. O. (2021). Determinants of public health expenditure in sub-Saharan Africa. La Revue Internationale Des Économistes De Langue Française, 6(2), 125-141. https://doi.org/10.18559/rielf.2021.2.6

Similar Articles

1-10 of 188

You may also start an advanced similarity search for this article.