Remittances, Public Health Spending and Foreign Aid in the Access to Health Care Services in Developing Countries
AbstractThe aim of this paper is to analyze the respective impacts of remittances, health aid and public spending on the access to health care services in developing countries. The specific objectives are threefold. Firstly, we quantify the differential impacts of remittances on the access to public and private health care services. Secondly, we determine whether remittances and foreign health aid are complements or substitutes in the access to health care services. Lastly, we evaluate the heterogeneity of the impact of remittances in the access to public and private health care services by quintile of income. We provide a rigorous econometric analysis by controlling for the endogeneity of remittances, public spending and foreign aid. We find that remittances, health aid and public spending are important determinants of access to health services in recipients’ countries. Another interesting result comes from the fact that, remittances lead to a sectorial glide in the uses of health care services from the public to the private sector for the intermediate income class. This result holds also for the richer quintiles that are the major recipients of remittances in developing countries. Moreover, remittances and foreign health aid are complements for the access to health care services in “low” income countries. Finally, these results suggest that policies aiming at increasing remittances are appropriate for developing countries but also that, the “optimal” therapy for the “low” income countries is the combination of remittances and foreign aid.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by CERDI in its series Working Papers with number 201004.
Date of creation: 2010
Date of revision:
Remittances; health aid; public spending; access to health care services; developing countries; instrumental variables method;
Other versions of this item:
- Alassane Drabo & Christian Ebeke, 2011. "Remittances, Public Health Spending and Foreign Aid in the Access to Health Care Services in Developing Countries," Working Papers halshs-00552996, HAL.
- NEP-ALL-2010-02-27 (All new papers)
- NEP-DEV-2010-02-27 (Development)
- NEP-HEA-2010-02-27 (Health Economics)
- NEP-MIG-2010-02-27 (Economics of Human Migration)
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.:
- Bernard Gauthier & Waly Wane, 2009. "Leakage of Public Resources in the Health Sector: An Empirical Investigation of Chad †," Journal of African Economies, Centre for the Study of African Economies (CSAE), vol. 18(1), pages 52-83, January.
- Samuel GUERINEAU & Gérard CHAMBAS & Jean-François BRUN, 2008.
"Aide et mobilisation fiscale dans les pays en développement,"
- Jean-François Brun & Gérard Chambas & Samuel Guerineau, 2011. "Aide et mobilisation fiscale dans les pays en développement," Working Papers halshs-00556804, HAL.
- Mesplé-Somps, Sandrine & Chauvet, Lisa, 2007. "Impact des financements internationaux sur les inégalités des pays en développement," Economics Papers from University Paris Dauphine 123456789/4350, Paris Dauphine University.
- Catalina Amuedo-Dorantes & Tania Sainz & Susan Pozo, 2007.
"Remittances and healthcare expenditure patterns of populations in origin communities : evidence from Mexico,"
INTAL Working Papers
1450, Inter-American Development Bank, INTAL.
- Catalina Amuedo-Dorantes & Tania Sainz & Susan Pozo, 2007. "Remittances and Healthcare Expenditure Patterns of Populations in Origin Communities: Evidence from Mexico," IDB Publications 9355, Inter-American Development Bank.
- Edwards, Alejandra Cox & Ureta, Manuelita, 2003. "International migration, remittances, and schooling: evidence from El Salvador," Journal of Development Economics, Elsevier, vol. 72(2), pages 429-461, December.
- Gage, Anastasia J., 2007. "Barriers to the utilization of maternal health care in rural Mali," Social Science & Medicine, Elsevier, vol. 65(8), pages 1666-1682, October.
- Calero, Carla & Bedi, Arjun S. & Sparrow, Robert, 2008.
"Remittances, Liquidity Constraints and Human Capital Investments in Ecuador,"
IZA Discussion Papers
3358, Institute for the Study of Labor (IZA).
- Calero, Carla & Bedi, Arjun S. & Sparrow, Robert, 2009. "Remittances, Liquidity Constraints and Human Capital Investments in Ecuador," World Development, Elsevier, vol. 37(6), pages 1143-1154, June.
- Calero, C. & Bedi, A.S. & Sparrow, R.A., 2008. "Remittances, liquidity constraints and human capital investments in Ecuador," ISS Working Papers - General Series 1765018735, International Institute of Social Studies of Erasmus University (ISS), The Hague.
- Valerie Koechlin & Gianmarco Leon, 2007.
"International Remittances and Income Inequality: An Empirical Investigation,"
Journal of Economic Policy Reform,
Taylor and Francis Journals, vol. 10(2), pages 123-141.
- Valerie Koechlin & Gianmarco Leon, 2007. "International Remittances and Income Inequality: An Empirical Investigation," Journal of Policy Reform, Taylor and Francis Journals, vol. 10(2), pages 123-141.
- Gianmarco León & Valerie Koechlin, 2006. "International Remittances and Income Inequality: An Empirical Investigation," Research Department Publications 4475, Inter-American Development Bank, Research Department.
- Joanne Bryant & Annette Browne & Sylvia Barton & Bruno Zumbo, 2002. "Access to Health Care: Social Determinants of Preventive Cancer Screening Use in Northern British Columbia," Social Indicators Research, Springer, vol. 60(1), pages 243-262, December.
- Ritva Reinikka & Jakob Svensson, 2005. "Fighting Corruption to Improve Schooling: Evidence from a Newspaper Campaign in Uganda," Journal of the European Economic Association, MIT Press, vol. 3(2-3), pages 259-267, 04/05.
- Woodruff, Christopher & Zenteno, Rene, 2007. "Migration networks and microenterprises in Mexico," Journal of Development Economics, Elsevier, vol. 82(2), pages 509-528, March.
- Kai Carstensen & Erich Gundlach, 2006. "The Primacy of Institutions Reconsidered: Direct Income Effects of Malaria Prevalence," World Bank Economic Review, World Bank Group, vol. 20(3), pages 309-339.
- Stock, James H & Wright, Jonathan H & Yogo, Motohiro, 2002. "A Survey of Weak Instruments and Weak Identification in Generalized Method of Moments," Journal of Business & Economic Statistics, American Statistical Association, vol. 20(4), pages 518-29, October.
- Farasat A.S. Bokhari & Yunwei Gai & Pablo Gottret, 2005.
"Government Health Expenditures and Health Outcomes,"
wp2005_02_01, Department of Economics, Florida State University, revised May 2006.
- Farasat A. S. Bokhari & Yunwei Gai & Pablo Gottret, 2007. "Government health expenditures and health outcomes," Health Economics, John Wiley & Sons, Ltd., vol. 16(3), pages 257-273.
- Fay, Marianne & Leipziger, Danny & Wodon, Quentin & Yepes, Tito, 2005. "Achieving child-health-related Millennium Development Goals: The role of infrastructure," World Development, Elsevier, vol. 33(8), pages 1267-1284, August.
- Filmer, Deon & Pritchett, Lant, 1999. "The impact of public spending on health: does money matter?," Social Science & Medicine, Elsevier, vol. 49(10), pages 1309-1323, November.
- Lindstrom, David P & Muñoz-Franco, Elisa, 2006. "Migration and maternal health services utilization in rural Guatemala," Social Science & Medicine, Elsevier, vol. 63(3), pages 706-721, August.
- Bloom, David E. & Canning, David & Sevilla, Jaypee, 2004. "The Effect of Health on Economic Growth: A Production Function Approach," World Development, Elsevier, vol. 32(1), pages 1-13, January.
- Gupta, Sanjeev & Pattillo, Catherine A. & Wagh, Smita, 2009. "Effect of Remittances on Poverty and Financial Development in Sub-Saharan Africa," World Development, Elsevier, vol. 37(1), pages 104-115, January.
- Sepehri, Ardeshir & Sarma, Sisira & Simpson, Wayne & Moshiri, Saeed, 2008. "How important are individual, household and commune characteristics in explaining utilization of maternal health services in Vietnam?," Social Science & Medicine, Elsevier, vol. 67(6), pages 1009-1017, September.
- Freund, Caroline & Spatafora, Nikola, 2008. "Remittances, transaction costs, and informality," Journal of Development Economics, Elsevier, vol. 86(2), pages 356-366, June.
- Lisa Chauvet & Sandrine Mesplé-Somps, 2007.
"Impact des financements internationaux sur les inégalités des pays en développement,"
Presses de Sciences-Po, vol. 58(3), pages 735-744.
- Lisa Chauvet & Sandrine Mesplé-Somps, 2006. "Impact des financements internationaux sur les inégalités des pays en développement," Working Papers DT/2006/18, DIAL (Développement, Institutions et Mondialisation).
- Ritva Reinikka & Jakob Svensson, 2004. "Local Capture: Evidence From a Central Government Transfer Program in Uganda," The Quarterly Journal of Economics, MIT Press, vol. 119(2), pages 678-704, May.
- Borraz Fernando, 2005. "Assessing the Impact of Remittances on Schooling: the Mexican Experience," Global Economy Journal, De Gruyter, vol. 5(1), pages 1-32, April.
- Tavares, Jose, 2003. "Does foreign aid corrupt?," Economics Letters, Elsevier, vol. 79(1), pages 99-106, April.
- Alejandra Cox Edwards & Manuelita Ureta, 2003. "International Migration, Remittances, and Schooling: Evidence from El Salvador," NBER Working Papers 9766, National Bureau of Economic Research, Inc.
- Murawski, Lisa & Church, Richard L., 2009. "Improving accessibility to rural health services: The maximal covering network improvement problem," Socio-Economic Planning Sciences, Elsevier, vol. 43(2), pages 102-110, June.
- Rajkumar, Andrew Sunil & Swaroop, Vinaya, 2008. "Public spending and outcomes: Does governance matter?," Journal of Development Economics, Elsevier, vol. 86(1), pages 96-111, April.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Vincent Mazenod).
If references are entirely missing, you can add them using this form.