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A Health Production Function for Sub-Saharan Africa (SSA)

Author

Listed:
  • Bichaka Fayissa
  • Paulos Gutema

Abstract

The paper estimates a health production function for Sub-Saharan Africa based on the Grossman (1972) theoretical model that treats social, economic, and environmental factors as inputs of the production system. In estimating this function, socioeconomic and environmental factors such as income per capita, illiteracy rate, food availability, ratio of health expenditure to GDP, urbanization rate, and carbon dioxide emission per worker are specified as determinants of health status, proxied by life expectancy at birth. The parameters of the function are estimated by a method of one-way and two-way panel data analyses. The results obtained from two-way random effect model suggest that an increase in income per capita, a decrease in illiteracy rate, an increase in food availability are well associated with improvement in life expectancy at birth. Overall results suggest that a health policy, which may focus on the provision of health, services, family planning programs, and emergency aids to the exclusion of other socioeconomic aspects may do little in efforts directed toward improving the current health status of the region.

Suggested Citation

  • Bichaka Fayissa & Paulos Gutema, 2008. "A Health Production Function for Sub-Saharan Africa (SSA)," Working Papers 200808, Middle Tennessee State University, Department of Economics and Finance.
  • Handle: RePEc:mts:wpaper:200808
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    File URL: http://capone.mtsu.edu/berc/working/health.pdf
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    References listed on IDEAS

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    1. Michael Grossman, 1972. "The Demand for Health: A Theoretical and Empirical Investigation," NBER Books, National Bureau of Economic Research, Inc, number gros72-1.
    2. Behrman, Jere R. & Deolalikar, Anil B., 1988. "Health and nutrition," Handbook of Development Economics,in: Hollis Chenery & T.N. Srinivasan (ed.), Handbook of Development Economics, edition 1, volume 1, chapter 14, pages 631-711 Elsevier.
    3. Mark C. Berger & J. Paul Leigh, 1989. "Schooling, Self-Selection, and Health," Journal of Human Resources, University of Wisconsin Press, vol. 24(3), pages 433-455.
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    Cited by:

    1. Novignon, Jacob & Atakorah, Yaw Boateng, 2016. "How does the health sector benefit from trade openness? Evidence form panel data across sub-Saharan Africa countries," MPRA Paper 72258, University Library of Munich, Germany.
    2. Azza Mohamed Hegazy, 2016. "Mobile Phone and Child Mortality: The Case of Developing Countries," International Journal of Economics and Financial Issues, Econjournals, vol. 6(3), pages 917-925.
    3. Marcelo Martinez & Montfort Mlachila, 2013. "The Quality of the Recent High-Growth Episode in Sub-Saharan Africa," IMF Working Papers 13/53, International Monetary Fund.

    More about this item

    Keywords

    Sub-Saharan Africa; Health expenditure; Production function; Medical care; Panel data.;

    JEL classification:

    • I12 - Health, Education, and Welfare - - Health - - - Health Behavior
    • I18 - Health, Education, and Welfare - - Health - - - Government Policy; Regulation; Public Health

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