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Equity of Health Care Financing: An Application to Iran

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  • Moradi, Alireza
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    Abstract

    This paper analyzes inequality in Iran's health system from a financing perspective. Through grouped data of household budget published by Iran Statistic Center (ISC) and Beta Lorenz curve introduced in Kakwani (1980), it has been tried to extract Beta Lorenz curve and Kakwani progressivity index in each individual rural and urban district, and also to obtain other inequality measure in (1997-2007) Period.Then to study health inequality for the given period, we divided it into two sub-periods: (1997-2001) and (2002-2007) and finally to compare health inequality, using Bootstrap technique, we made a pseudo statistical population. Results show a degree of descending progressively in urban areas while in rural areas it has witnessed a slight improvement. However as the results show in both rural and urban areas, because of the negativity of Kakwani's index of the household expenditure which is financed by themselves is not progressive at all. Also the ratio of share richest quintile to poorest quintile for health care in urban and rural areas are 8.79 and 8.01 respectively.

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    Bibliographic Info

    Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 33489.

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    Date of creation: 06 May 2011
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    Handle: RePEc:pra:mprapa:33489

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    Keywords: Equity; Health care financing; Kakwani progressivity index; Iran;

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    1. Gerdtham, Ulf-G. & Sundberg, Gun, 1996. "Redistributive Effects of the Swedish Health Care Financing System," Working Paper Series in Economics and Finance 115, Stockholm School of Economics.
    2. Lairson, David R. & Hindson, Paul & Hauquitz, Alan, 1995. "Equity of health care in Australia," Social Science & Medicine, Elsevier, Elsevier, vol. 41(4), pages 475-482, August.
    3. Wagstaff, Adam, 2001. "Measuring equity in health care financing - reflections on (and alternatives to) the World Health Organization's fairness of financing index," Policy Research Working Paper Series 2550, The World Bank.
    4. Wagstaff, Adam & van Doorslaer, Eddy & Paci, Pierella, 1989. "Equity in the Finance and Delivery of Health Care: Some Tentative Cross-country Comparisons," Oxford Review of Economic Policy, Oxford University Press, Oxford University Press, vol. 5(1), pages 89-112, Spring.
    5. Wagstaff, Adam & van Doorslaer, Eddy, 1992. "Equity in the finance of health care: Some international comparisons," Journal of Health Economics, Elsevier, Elsevier, vol. 11(4), pages 361-387, December.
    6. Kakwani, Nanak C, 1977. "Applications of Lorenz Curves in Economic Analysis," Econometrica, Econometric Society, Econometric Society, vol. 45(3), pages 719-27, April.
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