Aging effect on the public health expenditures: A reexamination
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Date
2018
Journal Title
Journal ISSN
Volume Title
Publisher
Peter Lang Publishing Group
Access Rights
info:eu-repo/semantics/closedAccess
Abstract
Health spending has been on a continuous upward trend in the average growth rate in past 50 years. Age is becoming one of the major determinants of health spending as seen in country-specific data and analysis. In this regard, the aim of our study is to examine the effect of aging on public health expenditures over the period 1965-2012 for selected OECD countries. As the empirical methodology, we perform the bounds testing procedure of Pesaran et al. (2001) to analyze the long-term relationship. Afterwards, the causal relationship is examined by means of Granger causality analysis based on error correction models. We find evidence supporting the impact of an aging population on public health expenditures. In an aging environment, the government should consider health research as a priority area to control the cost price. © Peter Lang GmbH.
Description
Keywords
Aging; Causality; Co-integration; Health expenditure
Journal or Series
Issues in Public Sector Economics: Empirical Analysis from Various Countries
WoS Q Value
Scopus Q Value
N/A
