Health financing: does governance quality matter?

This paper contributes to the existing literature by examining the determinants of health financing in 177 developed and developing countries. The study introduces the variables of government effectiveness and control of corruption to capture the impact of governance quality on different mechanisms...

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Main Authors: Sirag, Abdalla, Mohamed Nor, Norashidah, Raja Abdullah, Nik Mustapha
Format: Article
Language:English
Published: Faculty of Economics, University of Tehran 2017
Online Access:http://psasir.upm.edu.my/id/eprint/62011/1/Health%20financing.pdf
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author Sirag, Abdalla
Mohamed Nor, Norashidah
Raja Abdullah, Nik Mustapha
author_facet Sirag, Abdalla
Mohamed Nor, Norashidah
Raja Abdullah, Nik Mustapha
author_sort Sirag, Abdalla
collection UPM
description This paper contributes to the existing literature by examining the determinants of health financing in 177 developed and developing countries. The study introduces the variables of government effectiveness and control of corruption to capture the impact of governance quality on different mechanisms of health financing. Utilisng panel data analysis, namely system-GMM estimators, to obtain unbiased estimates, the results indicate that public and private health financing do not follow the same pattern. In addition, the GDP per capita and total government expenditure is crucial factors that affect health financing in both developed and developing countries. External aid tends to reduce public health financing, especially when it is received by a country with low governance quality. Interestingly, a high level of government effectiveness and control of corruption are found to be very influential in stimulating public health financing and helping to reduce private health financing in developed countries. However, the low amounts of health financing in developing countries are attributable to the low quality of governance, which increases out-of-pocket health financing.
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spelling upm.eprints-620112019-03-18T01:27:56Z http://psasir.upm.edu.my/id/eprint/62011/ Health financing: does governance quality matter? Sirag, Abdalla Mohamed Nor, Norashidah Raja Abdullah, Nik Mustapha This paper contributes to the existing literature by examining the determinants of health financing in 177 developed and developing countries. The study introduces the variables of government effectiveness and control of corruption to capture the impact of governance quality on different mechanisms of health financing. Utilisng panel data analysis, namely system-GMM estimators, to obtain unbiased estimates, the results indicate that public and private health financing do not follow the same pattern. In addition, the GDP per capita and total government expenditure is crucial factors that affect health financing in both developed and developing countries. External aid tends to reduce public health financing, especially when it is received by a country with low governance quality. Interestingly, a high level of government effectiveness and control of corruption are found to be very influential in stimulating public health financing and helping to reduce private health financing in developed countries. However, the low amounts of health financing in developing countries are attributable to the low quality of governance, which increases out-of-pocket health financing. Faculty of Economics, University of Tehran 2017 Article NonPeerReviewed text en http://psasir.upm.edu.my/id/eprint/62011/1/Health%20financing.pdf Sirag, Abdalla and Mohamed Nor, Norashidah and Raja Abdullah, Nik Mustapha (2017) Health financing: does governance quality matter? Iranian Economic Review, 21 (3). 693 - 723. ISSN 1026-6542 https://ier.ut.ac.ir/article_62946.html 10.22059/IER.2017.62946
spellingShingle Sirag, Abdalla
Mohamed Nor, Norashidah
Raja Abdullah, Nik Mustapha
Health financing: does governance quality matter?
title Health financing: does governance quality matter?
title_full Health financing: does governance quality matter?
title_fullStr Health financing: does governance quality matter?
title_full_unstemmed Health financing: does governance quality matter?
title_short Health financing: does governance quality matter?
title_sort health financing does governance quality matter
url http://psasir.upm.edu.my/id/eprint/62011/1/Health%20financing.pdf
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