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Redistributive Effects of the Swedish Health Care Financing System

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Author Info
Gerdtham, Ulf-G. () (Centre for Health Economics)
Sundberg, Gun (Department of Economics)

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Abstract

The paper investigates the redistributive effects of the Swedish health care financing system in 1980 and 1990 for four different financial sources: County council taxes, payroll taxes, direct payments oand state grants. The redistributive effects are decomposed into vertical, horizontal and reranking segments for each of the four financial sources. The data used in this study is based on probability samples of the Swedish population, the Level of Living Survey (LNU) from 1981 and 1991. The paper concludes that the Swedish health care financing system is weakly progressive, although direct payments are regressive. There are some horizontal inequity and reranking, which mainly comes from the county council taxes, since those tax rates vary for each county councils. The implication is that, to some extent, people with equal income are treated unequally.

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Publisher Info
Paper provided by Stockholm School of Economics in its series Working Paper Series in Economics and Finance with number 115.

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Length: 48 pages
Date of creation: Jun 1996
Date of revision:
Publication status: Published in Journal of Health Planning and Management, 1998, pages 289-306.
Handle: RePEc:hhs:hastef:0115

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Postal: The Economic Research Institute, Stockholm School of Economics, P.O. Box 6501, 113 83 Stockholm, Sweden
Phone: +46-(0)8-736 90 00
Fax: +46-(0)8-31 01 57
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Web page: http://www.hhs.se/
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Related research
Keywords: Equity; health care; financing; redistributive effects;

Find related papers by JEL classification:
D3 - Microeconomics - - Distribution
D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement

References listed on IDEAS
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. Bjorklund, A. & Palme, M. & Svensson, I., 1995. "Assessing the Effects of Swedish Tax and Benefit Reforms on Income Distribution Using Different Income Concepts," Papers 13, Uppsala - Working Paper Series.
  2. Jenkins, Stephen, 1988. "Reranking and the Analysis of Income Redistribution," Scottish Journal of Political Economy, Scottish Economic Society, vol. 35(1), pages 65-76, February.
  3. Lambert, Peter J & Aronson, J Richard, 1993. "Inequality Decomposition Analysis and the Gini Coefficient Revisited," Economic Journal, Royal Economic Society, vol. 103(420), pages 1221-27, September. [Downloadable!] (restricted)
  4. Louis Kaplow, 1989. "Horizontal Equity: Measures in Search of a Principle," NBER Working Papers 1679, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  5. Jenkins, S., 1988. "Empirical Measurement Of Horizontal Inequity," Papers 169, Australian National University - Department of Economics.
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  6. Plotnick, Robert, 1981. "A Measure of Horizontal Inequity," The Review of Economics and Statistics, MIT Press, vol. 63(2), pages 283-88, May. [Downloadable!] (restricted)
  7. Wagstaff, Adam & van Doorslaer, Eddy, 1992. "Equity in the finance of health care: Some international comparisons," Journal of Health Economics, Elsevier, vol. 11(4), pages 361-387, December. [Downloadable!] (restricted)
  8. Kakwani, Nanok C, 1977. "Measurement of Tax Progressivity: An International Comparison," Economic Journal, Royal Economic Society, vol. 87(345), pages 71-80, March. [Downloadable!] (restricted)
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Cited by:
(explanations, 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. Hyacinth Ementa Ichoku & William Munpuibeyi Fonta, 2006. "The Distributional Impact of Healthcare Financing in Nigeria: A Case Study of Enugu State," Cahiers de recherche PMMA 2006-17, PEP-PMMA. [Downloadable!]
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