Consumer Spending for Pharmaceuticals and Its Implications for Health Care Financing: The Case of Kazakhstan
AbstractThe health care sector in the countries of the former Soviet Union experienced significant changes in the 1990s and moved away from the principle of providing free care. Kazakhstan experienced a similar trend in financing pharmaceuticals. After the introduction of direct patient contributions for outpatient pharmaceuticals, the economic burden on poor and rural people increased significantly. This article examines various policy changes in promoting equity and analyzes the implications and feasibility of subsidy programs on the health care budget. The simulations from a two-part model suggest that the program covering the poor increases the health care budget by 7.7 percent. This increases to 20 percent when extended to people in rural areas. Instead of adopting a straightforward subsidy program for certain groups, this article identifies policy alternatives that may enhance social welfare by decreasing economic inefficiencies.
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Bibliographic InfoArticle provided by M.E. Sharpe, Inc. in its journal Eastern European Economics.
Volume (Year): 42 (2004)
Issue (Month): 1 (January)
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Web page: http://mesharpe.metapress.com/link.asp?target=journal&id=106044
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- Tilman Brück & Damir Esenaliev & Antje Kroeger & Alma Kudebayeva & Bakhrom Mirkasimov & Susan Steiner, 2012.
"Household Survey Data for Research on Well-Being and Behavior in Central Asia,"
Discussion Papers of DIW Berlin
1257, DIW Berlin, German Institute for Economic Research.
- Brück, Tilman & Esenaliev, Damir & Kroeger, Antje & Kudebayeva, Alma & Mirkasimov, Bakhrom & Steiner, Susan, 2012. "Household Survey Data for Research on Well-Being and Behavior in Central Asia," IZA Discussion Papers 7055, Institute for the Study of Labor (IZA).
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