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On the determination of the US aggregate health care expenditure

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  • George Karatzas
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    Abstract

    Per capita real health care expenditure is examined against three major groups of explanatory variables: economic, demographic, and health stock, and it is found that the three groups of variables have an impact on real health care spending. Other subcategories, such as real private, and government health care, pharmaceutical, dental, home nursing, ambulatory, personal medical consumption, and in-patient expenditures have also been examined, and have been found to be affected by the explanatory variables. For several subcomponents there is evidence of supplier inducement. Of the demographic group of variables, the ageing population had an impact only on the per capita real overall, and private health care outlay, and pharmaceutical spending. Also, cointegrating relationships were found and consistent estimators of the elasticities found.

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    Bibliographic Info

    Article provided by Taylor & Francis Journals in its journal Applied Economics.

    Volume (Year): 32 (2000)
    Issue (Month): 9 ()
    Pages: 1085-1099

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    Handle: RePEc:taf:applec:v:32:y:2000:i:9:p:1085-1099

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    Cited by:
    1. Jochen Hartwig, 2006. "What Drives Health Care Expenditure? Baumol’s Model of ‘Unbalanced Growth’ Revisited," KOF Working papers 06-133, KOF Swiss Economic Institute, ETH Zurich.
    2. Bhat Ramesh & Jain Nishant, . "Analysis of Public Expenditure on Health Using State Level Data," IIMA Working Papers WP2004-06-08, Indian Institute of Management Ahmedabad, Research and Publication Department.
    3. Jes�s Clemente & Carmen Marcuello & Antonio Monta�és, 2008. "Pharmaceutical expenditure, total health-care expenditure and GDP," Health Economics, John Wiley & Sons, Ltd., vol. 17(10), pages 1187-1206.
    4. A. Spithoven, 2009. "Why U.S. health care expenditure and ranking on health care indicators are so different from Canada’s," International Journal of Health Care Finance and Economics, Springer, vol. 9(1), pages 1-24, March.
    5. Joan Costa Font & Jordi Pons Novell, 2005. "Public Health Expenditure and Spatial Interactions in a Decentralized National Health System," Working Papers in Economics 139, Universitat de Barcelona. Espai de Recerca en Economia.
    6. Jorge Alcalde-Unzu & Roberto Ezcurra & Pedro Pascual, 2009. "Cross-country disparities in health-care expenditure: a factor decomposition," Health Economics, John Wiley & Sons, Ltd., vol. 18(4), pages 479-485.
    7. Costa-Font, J & Gemmill M & Rubert G, 2009. "Re-visiting the Health Care Luxury Good Hypothesis: Aggregation, Precision, and Publication Biases?," Health, Econometrics and Data Group (HEDG) Working Papers 09/02, HEDG, c/o Department of Economics, University of York.
    8. Zheng, Xinye & Wang, Jing & Li, Xilu & Yu, Yihua, 2013. "On the supply of China's healthcare resources in a decentralized healthcare system," MPRA Paper 56030, University Library of Munich, Germany.
    9. Amiri, Arshia & Ventelou, Bruno, 2012. "Granger causality between total expenditure on health and GDP in OECD: Evidence from the Toda–Yamamoto approach," Economics Letters, Elsevier, vol. 116(3), pages 541-544.
    10. Jochen Hartwig & Jan-Egbert Sturm, 2012. "An outlier-robust extreme bounds analysis of the determinants of health-care expenditure growth," KOF Working papers 12-307, KOF Swiss Economic Institute, ETH Zurich.
    11. Bhat Ramesh & Jain Nishant, . "Time series analysis of private healthcare expenditures GDP: cointegration results with structural breaks," IIMA Working Papers WP2004-05-10, Indian Institute of Management Ahmedabad, Research and Publication Department.

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