IDEAS home Printed from https://ideas.repec.org/a/oup/jafrec/v18y2009i1p52-83.html
   My bibliography  Save this article

Leakage of Public Resources in the Health Sector: An Empirical Investigation of Chad †

Author

Listed:
  • Bernard Gauthier
  • Waly Wane

Abstract

In the public sector in developing countries, leakage of public resources could prove detrimental to users and affect the well-being of the population. This paper empirically examines the importance of leakage of government resources in the health sector in Chad, and its effects on the prices of drugs. The analysis uses data collected in Chad as part of a Health Facilities Survey organised by the World Bank in 2004. The survey covered 281 primary health care centres and contained information on the provision of medical material, financial resources and medicines allocated by the Ministry of Health to the regional administration and primary health centres. Although the regional administration is officially allocated 60% of the ministry's non-wage recurrent expenditures, the share of the resources that actually reach the regions is estimated to be only 18%. The health centres, which are the frontline providers and the entry point for the population, receive less than 1% of the ministry's non-wage recurrent expenditures. Accounting for the endogeneity of the level of competition among health centres, the leakage of government resources has a significant and negative impact on the price mark-up that health centres charge patients for drugs. Furthermore, it is estimated that had public resources earmarked for frontline providers reached them in their entirety, the number of patients seeking primary health care in Chad would have more than doubled. Copyright 2009 The author 2008. Published by Oxford University Press on behalf of the Centre for the Study of African Economies. All rights reserved. For permissions, please email: journals.permissions@oxfordjournals.org, Oxford University Press.

Suggested Citation

  • 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.
  • Handle: RePEc:oup:jafrec:v:18:y:2009:i:1:p:52-83
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1093/jae/ejn011
    Download Restriction: Access to full text is restricted to subscribers.

    As the access to this document is restricted, you may want to search for a different version of it.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Margaret Koziol & Courtney Tolmie, 2010. "Using Public Expenditure Tracking Surveys to Monitor Projects and Small-Scale Programs : A Guidebook," World Bank Publications, The World Bank, number 2502.
    2. Kjell Hausken & Mthuli Ncube, 2014. "Political Economy of Service Delivery: Monitoring Versus Contestation," The Developing Economies, Institute of Developing Economies, vol. 52(1), pages 68-84, March.
    3. Bodea, Cristina & Higashijima, Masaaki & Singh, Raju Jan, 2016. "Oil and Civil Conflict: Can Public Spending Have a Mitigation Effect?," World Development, Elsevier, vol. 78(C), pages 1-12.
    4. World Bank Group, 2015. "Health Service Delivery in Tanzania," World Bank Other Operational Studies 24796, The World Bank.
    5. World Bank, 2017. "Niger Service Delivery Indicators
      [Niger Indicateurs de prestation de services 2015 : Rapport technique sur la santé]
      ," World Bank Other Operational Studies 28472, The World Bank.
    6. Shantayanan Devarajan & Sudhir Shetty, 2010. "Africa : Leveraging the Crisis into a Development Takeoff," World Bank Other Operational Studies 10156, The World Bank.
    7. Alassane DRABO & Christian EBEKE, 2010. "Remittances, Public Health Spending and Foreign Aid in the Access to Health Care Services in Developing Countries," Working Papers 201004, CERDI.
    8. Dorothée Boccanfuso & Céline de Quatrebarbes & Luc Savard, 2011. "Can the removal of VAT Exemptions support the Poor? The Case of Niger," Cahiers de recherche 11-04, Departement d'Economique de l'École de gestion à l'Université de Sherbrooke, revised 05 Dec 2015.
    9. World Bank, "undated". "Africa's Pulse, April 2013 : An Analysis of Issues Shaping Africa's Economic Future," World Bank Other Operational Studies 20238, The World Bank.
    10. Gauthier, Bernard & Wane, Waly, 2011. "Bypassing health providers: The quest for better price and quality of health care in Chad," Social Science & Medicine, Elsevier, vol. 73(4), pages 540-549, August.
    11. Moussé Sow & Ivohasina F Razafimahefa, 2015. "Fiscal Decentralization and the Efficiency of Public Service Delivery," IMF Working Papers 15/59, International Monetary Fund.
    12. World Bank, 2011. "Sudan - Public Expenditure Tracking Survey (PETS) : Case Study of the Health Sector," World Bank Other Operational Studies 12265, The World Bank.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:oup:jafrec:v:18:y:2009:i:1:p:52-83. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Oxford University Press) or (Christopher F. Baum). General contact details of provider: http://edirc.repec.org/data/csaoxuk.html .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.