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Equity of Health Care Financing: An Application to Iran

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  • Moradi, Alireza

Abstract

This paper analyzes inequality in Iran's health system from a financing perspective. Through grouped data of household budget published by Iran Statistic Center (ISC) and Beta Lorenz curve introduced in Kakwani (1980), it has been tried to extract Beta Lorenz curve and Kakwani progressivity index in each individual rural and urban district, and also to obtain other inequality measure in (1997-2007) Period.Then to study health inequality for the given period, we divided it into two sub-periods: (1997-2001) and (2002-2007) and finally to compare health inequality, using Bootstrap technique, we made a pseudo statistical population. Results show a degree of descending progressively in urban areas while in rural areas it has witnessed a slight improvement. However as the results show in both rural and urban areas, because of the negativity of Kakwani's index of the household expenditure which is financed by themselves is not progressive at all. Also the ratio of share richest quintile to poorest quintile for health care in urban and rural areas are 8.79 and 8.01 respectively.

Suggested Citation

  • Moradi, Alireza, 2011. "Equity of Health Care Financing: An Application to Iran," MPRA Paper 33489, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:33489
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    References listed on IDEAS

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    1. Owen O'Donnell & Eddy van Doorslaer & Adam Wagstaff & Magnus Lindelow, 2008. "Analyzing Health Equity Using Household Survey Data : A Guide to Techniques and Their Implementation," World Bank Publications - Books, The World Bank Group, number 6896, December.
    2. Lairson, David R. & Hindson, Paul & Hauquitz, Alan, 1995. "Equity of health care in Australia," Social Science & Medicine, Elsevier, vol. 41(4), pages 475-482, August.
    3. Wagstaff, Adam, 2001. "Measuring equity in health care financing - reflections on (and alternatives to) the World Health Organization's fairness of financing index," Policy Research Working Paper Series 2550, The World Bank.
    4. Kakwani, Nanak C, 1977. "Applications of Lorenz Curves in Economic Analysis," Econometrica, Econometric Society, vol. 45(3), pages 719-727, April.
    5. Wagstaff, Adam & van Doorslaer, Eddy & Paci, Pierella, 1989. "Equity in the Finance and Delivery of Health Care: Some Tentative Cross-country Comparisons," Oxford Review of Economic Policy, Oxford University Press and Oxford Review of Economic Policy Limited, vol. 5(1), pages 89-112, Spring.
    6. Gerdtham, Ulf-G. & Sundberg, Gun, 1996. "Redistributive Effects of the Swedish Health Care Financing System," SSE/EFI Working Paper Series in Economics and Finance 115, Stockholm School of Economics.
    7. Anand, Sudhir, 2004. "Public Health, Ethics, and Equity," OUP Catalogue, Oxford University Press, number 9780199276363.
    8. Wagstaff, Adam & van Doorslaer, Eddy, 1992. "Equity in the finance of health care: Some international comparisons," Journal of Health Economics, Elsevier, vol. 11(4), pages 361-387, December.
    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    Equity; Health care financing; Kakwani progressivity index; Iran;
    All these keywords.

    JEL classification:

    • D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement
    • D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
    • P43 - Political Economy and Comparative Economic Systems - - Other Economic Systems - - - Finance; Public Finance
    • I18 - Health, Education, and Welfare - - Health - - - Government Policy; Regulation; Public Health

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