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The relationship between pharmaceutical expenditure and life expectancy: evidence from 21 OECD countries

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  • Zafer Caliskan

Abstract

The purpose of this article is to examine the effect of pharmaceutical expenditures on life expectancy for 21 OECD countries. An unbalanced panel data model is used to investigate the role of socio-economic, lifestyle and demographic factors as well as public and private pharmaceutical expenditures in determining life expectancy for six age-gender strata over the period 1985 to 2002. The empirical results show that pharmaceutical expenditure has a positive, but different effect on life expectancy for females and males with various ages.

Suggested Citation

  • Zafer Caliskan, 2009. "The relationship between pharmaceutical expenditure and life expectancy: evidence from 21 OECD countries," Applied Economics Letters, Taylor & Francis Journals, vol. 16(16), pages 1651-1655.
    • Handle: RePEc:taf:apeclt:v:16:y:2009:i:16:p:1651-1655
    DOI: 10.1080/13504850701604136
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    References listed on IDEAS

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    1. Frank R. Lichtenberg, 1996. "The Effect of Pharmaceutical Utilization and Innovation on Hospitalization and Mortality," NBER Working Papers 5418, National Bureau of Economic Research, Inc.
    2. Richard Auster & Irving Leveson & Deborah Sarachek, 1969. "The Production of Health, an Exploratory Study," Journal of Human Resources, University of Wisconsin Press, vol. 4(4), pages 411-436.
    3. James W. Shaw & William C. Horrace & Ronald J. Vogel, 2005. "The Determinants of Life Expectancy: An Analysis of the OECD Health Data," Southern Economic Journal, John Wiley & Sons, vol. 71(4), pages 768-783, April.
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    2. Mihajlo Jakovljevic & Paula Odete Fernandes & João Paulo Teixeira & Nemanja Rancic & Yuriy Timofeyev & Vladimir Reshetnikov, 2019. "Underlying Differences in Health Spending Within the World Health Organisation Europe Region—Comparing EU15, EU Post-2004, CIS, EU Candidate, and CARINFONET Countries," IJERPH, MDPI, vol. 16(17), pages 1-15, August.
    3. Gallet, Craig A. & Doucouliagos, Hristos, 2017. "The impact of healthcare spending on health outcomes: A meta-regression analysis," Social Science & Medicine, Elsevier, vol. 179(C), pages 9-17.
    4. Blázquez-Fernández, Carla & González-Prieto, Noelia & Moreno-Mencía, Patricia, 2013. "Pharmaceutical Expenditure as a Determinant of Health Outcomes in EU Countries/El gasto farmacéutico como determinante de los resultados en salud en países de la UE," Estudios de Economia Aplicada, Estudios de Economia Aplicada, vol. 31, pages 379-396, Septiembr.
    5. Kołodziejska Katarzyna, 2012. "Pharmaceutical sector in the new reimbursement era," Management, Sciendo, vol. 16(1), pages 203-215, May.
    6. Hilaire Gbodja Houeninvo, 2022. "Effects of health expenditures on infant and child mortality rates: A dynamic panel data analysis of 37 African countries," African Development Review, African Development Bank, vol. 34(2), pages 255-267, June.

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