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New Estimates of the Demand for Health: Results Based on a Categorical Health Measure and Swedish Micro Data

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  • Gerdtham, Ulf-G

    (Dept. of Economics, Stockholm School of Economics)

  • Johannesson, Magnus

    (Dept. of Economics, Stockholm School of Economics)

Abstract

In this paper we estimate a 'Grossman' model of demand for health based on Swedish micro data. The data set consists of a random sample of over 5,000 individuals taken from the Swedish adult population. Health capital is measured by a categorical measure of overall health status, and an ordered probit model is used to econometrically estimate the demand-for-health equation. The results are consistent with the theoretical predictions and show that the demand for health increases with income and education and decreases with age, overweight, urbanisation and being single.

Suggested Citation

  • Gerdtham, Ulf-G & Johannesson, Magnus, 1997. "New Estimates of the Demand for Health: Results Based on a Categorical Health Measure and Swedish Micro Data," SSE/EFI Working Paper Series in Economics and Finance 205, Stockholm School of Economics.
    • Handle: RePEc:hhs:hastef:0205
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    References listed on IDEAS

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    More about this item

    Keywords

    Demand for health; health production; human capital; health status;
    All these keywords.

    JEL classification:

    • D12 - Microeconomics - - Household Behavior - - - Consumer Economics: Empirical Analysis
    • I12 - Health, Education, and Welfare - - Health - - - Health Behavior
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity

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