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The Dynamics of Income-Related Health Inequalities in Australia versus Great Britain

Author

Listed:
  • Calara, Paul Samuel

    () (The Swedish Institute for Health Economics (IHE))

  • Gerdtham, Ulf-G

    () (Department of Economics, Lund University)

  • Petrie, Dennis

    () (Centre for Health Economics, Monash University)

Abstract

This study compares the evolution of income-related health inequality (IRHI) in Australia (2001–2006) and in Great Britain (1999–2004) by exploring patterns of morbidity- and mortality-related health changes across income groups. Using Australian longitudinal data, the change in health inequality is decomposed into those changes related to health changes (income-related health mobility) and income changes (health-related income mobility), and compared with recent results from Great Britain. Absolute IRHI increased for both sexes, indicating greater absolute health inequality in Australia over this period, similar to that seen in Great Britain. The income-related health mobility indicates that this was due to health losses over this period being concentrated in those initially poor who were significantly more likely to die. The health-related income mobility further indicates that those who moved up the income distribution during the period were more likely to be those who were healthy. Australian estimates of mobility measures are similar, if not greater, in magnitude than for Great Britain. While reducing health inequality remains high on the political agenda in Great Britain, it has received less attention in Australia even though the evidence provided here suggests it should receive more attention.

Suggested Citation

  • Calara, Paul Samuel & Gerdtham, Ulf-G & Petrie, Dennis, 2016. "The Dynamics of Income-Related Health Inequalities in Australia versus Great Britain," Working Papers 2016:20, Lund University, Department of Economics.
  • Handle: RePEc:hhs:lunewp:2016_020
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    File URL: http://project.nek.lu.se/publications/workpap/papers/wp16_20.pdf
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    References listed on IDEAS

    as
    1. Petrie, Dennis & Allanson, Paul & Gerdtham, Ulf-G., 2011. "Accounting for the dead in the longitudinal analysis of income-related health inequalities," Journal of Health Economics, Elsevier, vol. 30(5), pages 1113-1123.
    2. Kjellsson, Gustav & Gerdtham, Ulf-G., 2013. "Lost in Translation: Rethinking the Inequality-Equivalence Criteria for Bounded Health Variables," Working Papers 2013:18, Lund University, Department of Economics, revised 02 Jan 2014.
    3. Clarke, Philip M. & Gerdtham, Ulf-G. & Johannesson, Magnus & Bingefors, Kerstin & Smith, Len, 2002. "On the measurement of relative and absolute income-related health inequality," Social Science & Medicine, Elsevier, vol. 55(11), pages 1923-1928, December.
    4. M. Kamrul Islam & Ulf‐G. Gerdtham & Philip Clarke & Kristina Burström, 2010. "Does income‐related health inequality change as the population ages? Evidence from Swedish panel data," Health Economics, John Wiley & Sons, Ltd., vol. 19(3), pages 334-349, March.
    5. Kristof Bosmans, 2016. "Consistent Comparisons of Attainment and Shortfall Inequality: A Critical Examination," Health Economics, John Wiley & Sons, Ltd., vol. 25(11), pages 1425-1432, November.
    6. Paul Allanson & Dennis Petrie, 2014. "Understanding The Vertical Equity Judgements Underpinning Health Inequality Measures," Health Economics, John Wiley & Sons, Ltd., vol. 23(11), pages 1390-1396, November.
    7. Allanson, Paul & Gerdtham, Ulf-G. & Petrie, Dennis, 2010. "Longitudinal analysis of income-related health inequality," Journal of Health Economics, Elsevier, vol. 29(1), pages 78-86, January.
    8. Allanson, Paul & Petrie, Dennis, 2013. "Longitudinal methods to investigate the role of health determinants in the dynamics of income-related health inequality," Journal of Health Economics, Elsevier, vol. 32(5), pages 922-937.
    9. Kjellsson, Gustav & Gerdtham, Ulf-G., 2013. "On correcting the concentration index for binary variables," Journal of Health Economics, Elsevier, vol. 32(3), pages 659-670.
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    More about this item

    Keywords

    HILDA; BHPS; income-related health inequality; longitudinal analysis; vertical equity;
    All these keywords.

    JEL classification:

    • D39 - Microeconomics - - Distribution - - - Other
    • D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement
    • I18 - Health, Education, and Welfare - - Health - - - Government Policy; Regulation; Public Health

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