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Does Health-Care Spending Crowd Out Other Provincial Government Expenditures?

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Author Info
Stuart Landon
Melville L. McMillan
Vijay Muralidharan
Mark Parsons

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Abstract

Health spending, the largest component of provincial government spending, has risen significantly over the past decade. It has been asserted that larger health expenditures have caused provincial governments to spend less on other types of government services. Using a panel of province-level data for the period 1988/89 to 2003/04, this study provides a test of the hypothesis that health spending has crowded out other types of spending. The results indicate that, for the period studied, there is no evidence that increased provincial government health expenditures resulted in lower levels of spending on other categories of government provided goods and services.

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File URL: http://economics.ca/cgi/jab?journal=cpp&view=v32n2/CPPv32n2p121.pdf
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Publisher Info
Article provided by University of Toronto Press in its journal Canadian Public Policy.

Volume (Year): 32 (2006)
Issue (Month): 2 (June)
Pages: 121-142
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Handle: RePEc:cpp:issued:v:32:y:2006:i:2:p:121-142

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Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:

  1. Karlsson, Sune & Lothgren, Mickael, 2000. "On the power and interpretation of panel unit root tests," Economics Letters, Elsevier, vol. 66(3), pages 249-255, March. [Downloadable!] (restricted)
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  2. Marlow, Michael L & Shiers, Alden F, 1999. "Do Law Enforcement Expenditures Crowd-Out Public Education Expenditures?," Applied Economics, Taylor and Francis Journals, vol. 31(2), pages 255-66, February. [Downloadable!] (restricted)
  3. Wallace E. Oates, 1999. "An Essay on Fiscal Federalism," Journal of Economic Literature, American Economic Association, vol. 37(3), pages 1120-1149, September. [Downloadable!] (restricted)
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This page was last updated on 2009-11-13.

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