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Does governance matter for aggregate health capital?

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  • Emiliya Lazarova
  • Ilaria Mosca

Abstract

The point of departure of our analysis is the seminal work of Rodgers (1979) on the absolute and relative income hypotheses. We find that substituting the governance index for the Gini index is statistically the preferred regression model. Our findings lend support to the argument that governance matters. Further investigation provides evidence for two types of threshold effects: in terms of both absolute income and governance. For those countries below a threshold, absolute income is the most significant determinant of health, while for those above it, governance matters the most. The regression analyses are conducted on a sample of 112 states, which is representative of a wide range of absolute income and governance levels.

Suggested Citation

  • Emiliya Lazarova & Ilaria Mosca, 2007. "Does governance matter for aggregate health capital?," Applied Economics Letters, Taylor & Francis Journals, vol. 15(3), pages 199-202.
    • Handle: RePEc:taf:apeclt:v:15:y:2007:i:3:p:199-202
    DOI: 10.1080/13504850600721916
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    Citations

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    Cited by:

    1. Stephen Knowles & P. Dorian Owen, 2010. "Which Institutions are Good for Your Health? The Deep Determinants of Comparative Cross-country Health Status," Journal of Development Studies, Taylor & Francis Journals, vol. 46(4), pages 701-723.
    2. Emiliya A. Lazarova, 2006. "Governance In Relation To Infant Mortality Rate: Evidence From Around The World," Annals of Public and Cooperative Economics, Wiley Blackwell, vol. 77(3), pages 385-394, September.
    3. Marwa Farag & A. Nandakumar & Stanley Wallack & Dominic Hodgkin & Gary Gaumer & Can Erbil, 2013. "Health expenditures, health outcomes and the role of good governance," International Journal of Health Economics and Management, Springer, vol. 13(1), pages 33-52, March.
    4. Fabrice Nguegang, 2023. "Effect of foreign direct investment on population health in Africa: Is there any threshold role of governance?," Economics Bulletin, AccessEcon, vol. 43(2), pages 1172-1184.
    5. Jeroen Klomp & Jakob De Haan, 2008. "Effects of Governance on Health: a Cross‐National Analysis of 101 Countries," Kyklos, Wiley Blackwell, vol. 61(4), pages 599-614, November.

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