[PDF][PDF] Healthcare Expenditures and GDP in Sub-Saharan African Countries: Evidence from Panel Data

O Olaniyan, ID Onisanwa… - … at the 2013 Centre for the …, 2013 - researchgate.net
Paper submitted for presentation at the 2013 Centre for the Study of …, 2013researchgate.net
This paper examines the long-run economic relationship between health care expenditure
(NCE) and gross domestic product (CDP) for 32 sub-Saharan African countries over the
period/995-2009. Using panel unit roots and cointegration techniques, wefoutul that there is
a long run relationship between NCE and CDP in the countries. The paper also tests the
mean reversion and cointcvrtnio» properties UIIlIJllghealth cure expenditure cuu! CDP,
health care expenditure, total population above ugc 65, and population hc101I'agc/5, and …
This paper examines the long-run economic relationship between health care expenditure (NCE) and gross domestic product (CDP) for 32 sub-Saharan African countries over the period/995-2009. Using panel unit roots and cointegration techniques, wefoutul that there is a long run relationship between NCE and CDP in the countries. The paper also tests the mean reversion and cointcvrtnio» properties UIIlIJllghealth cure expenditure cuu! CDP, health care expenditure, total population above ugc 65, and population hc101I'agc/5, and ultimatelv, measuring income elasticity of health care. Country-specific income elasticities were thus derivedfor the 32 CO 1111 tries. We tried to obtain robust estimates bv controllingfor both crosssection dependence and unobserved hcterogencitv in the analvsis. The results scent to suggest that health care is a necessity rather than a luxury with income elasticity value of 0.46 and further shows that the demographic factors are significant in explaining health variations across Sub-Sahara Africa COUlltries,
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