An empirical study on the determinants of health care expenses in emerging economies

Abstract Background Emerging countries continue to suffer gravely from insufficient healthcare funding, which adversely affects access to quality healthcare and ultimately the health status of citizens. By using panel data from the World Development Indicators, the study examined the determinants of...

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Main Authors: Lulin Zhou, Sabina Ampon-Wireko, Henry Asante Antwi, Xinglong Xu, Muhammad Salman, Maxwell Opuni Antwi, Tordzro Mary Norvienyo Afua
Format: Article
Language:English
Published: BMC 2020-08-01
Series:BMC Health Services Research
Subjects:
Online Access:http://link.springer.com/article/10.1186/s12913-020-05414-z
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author Lulin Zhou
Sabina Ampon-Wireko
Henry Asante Antwi
Xinglong Xu
Muhammad Salman
Maxwell Opuni Antwi
Tordzro Mary Norvienyo Afua
author_facet Lulin Zhou
Sabina Ampon-Wireko
Henry Asante Antwi
Xinglong Xu
Muhammad Salman
Maxwell Opuni Antwi
Tordzro Mary Norvienyo Afua
author_sort Lulin Zhou
collection DOAJ
description Abstract Background Emerging countries continue to suffer gravely from insufficient healthcare funding, which adversely affects access to quality healthcare and ultimately the health status of citizens. By using panel data from the World Development Indicators, the study examined the determinants of health care expenditure among twenty-two (22) emerging countries from the year 2000 to 2018. Methods The study employed cross-section dependence and homogeneity tests to confirm cross-sectional dependence and to deal with homogeneity issues. The Quantile regression technique is employed to test for the relationship between private and public health care expenses and its determinants. The Pooled mean group causality test is used to examine the causal connections among the variables. Results The outcome of the quantile regression test revealed that economic growth and aging population could induce healthcare costs in emerging countries. However, the impact of industrialization, agricultural activities, and technological advancement on health expenses are found to be noticeably heterogeneous at the various quantile levels. Unidirectional causality was found between industrialization and public health expenses; whereas two-way causal influence was reveled amongst public health expenditure and GDP per capita; public health expenditure and agricultural activities. Conclusion It is therefore suggested that effective and integrated strategies should be considered by industries and agricultural sectors to help reduce preventable diseases that will ultimately reduce healthcare costs among the emerging countries.
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spelling doaj.art-fc479909634c43ea8e8ca87ff145d84c2022-12-22T00:22:34ZengBMCBMC Health Services Research1472-69632020-08-0120111610.1186/s12913-020-05414-zAn empirical study on the determinants of health care expenses in emerging economiesLulin Zhou0Sabina Ampon-Wireko1Henry Asante Antwi2Xinglong Xu3Muhammad Salman4Maxwell Opuni Antwi5Tordzro Mary Norvienyo Afua6School of Management, Jiangsu UniversitySchool of Management, Jiangsu UniversitySchool of Management, Jiangsu UniversitySchool of Management, Jiangsu UniversitySchool of Management, Jiangsu UniversitySchool of Management, Jiangsu UniversitySchool of Management, Jiangsu UniversityAbstract Background Emerging countries continue to suffer gravely from insufficient healthcare funding, which adversely affects access to quality healthcare and ultimately the health status of citizens. By using panel data from the World Development Indicators, the study examined the determinants of health care expenditure among twenty-two (22) emerging countries from the year 2000 to 2018. Methods The study employed cross-section dependence and homogeneity tests to confirm cross-sectional dependence and to deal with homogeneity issues. The Quantile regression technique is employed to test for the relationship between private and public health care expenses and its determinants. The Pooled mean group causality test is used to examine the causal connections among the variables. Results The outcome of the quantile regression test revealed that economic growth and aging population could induce healthcare costs in emerging countries. However, the impact of industrialization, agricultural activities, and technological advancement on health expenses are found to be noticeably heterogeneous at the various quantile levels. Unidirectional causality was found between industrialization and public health expenses; whereas two-way causal influence was reveled amongst public health expenditure and GDP per capita; public health expenditure and agricultural activities. Conclusion It is therefore suggested that effective and integrated strategies should be considered by industries and agricultural sectors to help reduce preventable diseases that will ultimately reduce healthcare costs among the emerging countries.http://link.springer.com/article/10.1186/s12913-020-05414-zHealth care expenditureIndustrializationAgricultural activitiesEconomic growthQuantile regression
spellingShingle Lulin Zhou
Sabina Ampon-Wireko
Henry Asante Antwi
Xinglong Xu
Muhammad Salman
Maxwell Opuni Antwi
Tordzro Mary Norvienyo Afua
An empirical study on the determinants of health care expenses in emerging economies
BMC Health Services Research
Health care expenditure
Industrialization
Agricultural activities
Economic growth
Quantile regression
title An empirical study on the determinants of health care expenses in emerging economies
title_full An empirical study on the determinants of health care expenses in emerging economies
title_fullStr An empirical study on the determinants of health care expenses in emerging economies
title_full_unstemmed An empirical study on the determinants of health care expenses in emerging economies
title_short An empirical study on the determinants of health care expenses in emerging economies
title_sort empirical study on the determinants of health care expenses in emerging economies
topic Health care expenditure
Industrialization
Agricultural activities
Economic growth
Quantile regression
url http://link.springer.com/article/10.1186/s12913-020-05414-z
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