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Evolving health expenditure landscape of the BRICS nations and projections to 2025

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  • Jakovljevic, Mihajlo
  • Potapchik, Elena
  • Popovich, Larisa
  • Barik, Debasis
  • Getzen, Thomas E.

Abstract

Global health spending share of low/middle income countries continues its long-term growth. BRICS nations remain to be major drivers of such change since 1990s. Governmental, private and out-of-pocket health expenditures were analyzed based on WHO sources. Medium-term projections of national health spending to 2025 were provided based on macroeconomic budgetary excess growth model. In terms of per capita spending Russia was highest in 2013. India's health expenditure did not match overall economic growth and fell to slightly less than 4% of GDP. Up to 2025 China will achieve highest excess growth rate of 2% and increase its GDP% spent on health care from 5.4% in 2012 to 6.6% in 2025. Russia's spending will remain highest among BRICS in absolute per capita terms reaching net gain from $1523 PPP in 2012 to $2214 PPP in 2025. In spite of BRICS' diversity, all countries were able to significantly increase their investments in health care. The major setback was bold rise in out-of-pocket spending. Most of BRICS' growing share of global medical spending was heavily attributable to the overachievement of People's Republic of China. Such trend is highly likely to continue beyond 2025.

Suggested Citation

  • Jakovljevic, Mihajlo & Potapchik, Elena & Popovich, Larisa & Barik, Debasis & Getzen, Thomas E., 2016. "Evolving health expenditure landscape of the BRICS nations and projections to 2025," MPRA Paper 77221, University Library of Munich, Germany, revised 04 Jun 2016.
    • Handle: RePEc:pra:mprapa:77221
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    Cited by:

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    2. Tao Liu & Benjamin Quasinowski & André Soares, 2020. "The Emulation and Adaptation of a Global Model of Clinical Practice Guidelines on Chronic Heart Failure in BRICS Countries: A Comparative Study," IJERPH, MDPI, vol. 17(5), pages 1-21, March.
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    4. Stefan Fetzer & Stefan Moog, 2021. "Indicators for Measuring Intergenerational Fairness of Social Security Systems—The Case of the German Social Health Insurance," Sustainability, MDPI, vol. 13(10), pages 1-18, May.
    5. Tomoki Fujii, 2018. "Sources of health financing and health outcomes: A panel data analysis," Health Economics, John Wiley & Sons, Ltd., vol. 27(12), pages 1996-2015, December.
    6. Onur Dogan & Gizem Kaya & Aycan Kaya & Hidayet Beyhan, 2019. "Catastrophic Household Expenditure for Healthcare in Turkey: Clustering Analysis of Categorical Data," Data, MDPI, vol. 4(3), pages 1-10, July.
    7. Mihajlo Jakovljevic & Arcadio A. Cerda & Yansui Liu & Leidy García & Yuriy Timofeyev & Kristijan Krstic & John Fontanesi, 2021. "Sustainability Challenge of Eastern Europe—Historical Legacy, Belt and Road Initiative, Population Aging and Migration," Sustainability, MDPI, vol. 13(19), pages 1-18, October.
    8. 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.
    9. Ren, Bo & Li, Huajiao & Shi, Jianglan & Liu, Yanxin & Qi, Yajie, 2022. "Identifying the key sectors and paths of the embodied energy in BRICS nations: A weighted multilayer network approach," Energy, Elsevier, vol. 239(PB).
    10. Vladimir Reshetnikov & Evgeny Arsentyev & Sergey Bolevich & Yuriy Timofeyev & Mihajlo Jakovljević, 2019. "Analysis of the Financing of Russian Health Care over the Past 100 Years," IJERPH, MDPI, vol. 16(10), pages 1-5, May.
    11. Xueli Chen & Vivian Valdmanis & Tuotuo Yu, 2020. "Productivity Growth in Chinese Medical Institutions during 2009–2018," Sustainability, MDPI, vol. 12(8), pages 1-17, April.
    12. Viktoriia Vovk & Lyudmila Beztelesna & Olha Pliashko, 2021. "Identification of Factors for the Development of Medical Tourism in the World," IJERPH, MDPI, vol. 18(21), pages 1-17, October.
    13. Tingying Chen & Haitian Lu & Rong Chen & Lina Wu, 2021. "The Impact of Marketization on Sustainable Economic Growth—Evidence from West China," Sustainability, MDPI, vol. 13(7), pages 1-24, March.
    14. Priya Gauttam & Nitesh Patel & Bawa Singh & Jaspal Kaur & Vijay Kumar Chattu & Mihajlo Jakovljevic, 2021. "Public Health Policy of India and COVID-19: Diagnosis and Prognosis of the Combating Response," Sustainability, MDPI, vol. 13(6), pages 1-18, March.
    15. Pragyan Monalisa Sahoo & Himanshu Sekhar Rout & Mihajlo Jakovljevic, 2023. "Dynamics of Health Financing among the BRICS: A Literature Review," Sustainability, MDPI, vol. 15(16), pages 1-21, August.
    16. Kristijan Krstic & Ronny Westerman & Vijay Kumar Chattu & Natalia V. Ekkert & Mihajlo Jakovljevic, 2020. "Corona-Triggered Global Macroeconomic Crisis of the Early 2020s," IJERPH, MDPI, vol. 17(24), pages 1-9, December.
    17. Rudi Rocha & Isabela Furtado & Paula Spinola, 2021. "Financing needs, spending projection, and the future of health in Brazil," Health Economics, John Wiley & Sons, Ltd., vol. 30(5), pages 1082-1094, May.
    18. Chak Hung Jack Cheng & Nopphol Witvorapong, 2021. "Health care policy uncertainty, real health expenditures and health care inflation in the USA," Empirical Economics, Springer, vol. 60(4), pages 2083-2103, April.
    19. Macinko, James & Seixas, Brayan V. & de Oliveira, Cesar & Lima-Costa, Maria Fernanda, 2022. "Private health insurance, healthcare spending and utilization among older adults: Results from the Brazilian Longitudinal Study of Aging," The Journal of the Economics of Ageing, Elsevier, vol. 23(C).
    20. Juan Du & Shuhong Cui & Hong Gao, 2020. "Assessing Productivity Development of Public Hospitals: A Case Study of Shanghai, China," IJERPH, MDPI, vol. 17(18), pages 1-9, September.
    21. Daniel Badulescu & Ramona Simut & Alina Badulescu & Andrei-Vlad Badulescu, 2019. "The Relative Effects of Economic Growth, Environmental Pollution and Non-Communicable Diseases on Health Expenditures in European Union Countries," IJERPH, MDPI, vol. 16(24), pages 1-19, December.
    22. Tissa Wijeratne & Carmela Sales & Rohit Menon & Leila Karimi & Mihajlo Jakovljevic, 2021. "Highlighting the Role of Universally Available and Innate Immune Cell Counts in Acute Ischemic Stroke: A Scoping Review," Sustainability, MDPI, vol. 13(7), pages 1-10, April.

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    More about this item

    Keywords

    BRICS; global health; health expenditure; trend; medical spending; emerging markets; future forecasts; projections;
    All these keywords.

    JEL classification:

    • I11 - Health, Education, and Welfare - - Health - - - Analysis of Health Care Markets
    • I15 - Health, Education, and Welfare - - Health - - - Health and Economic Development

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