Chakroun, Mohamed (2009): Health care expenditure and GDP: An international panel smooth transition approach.
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In this paper, we investigate the potential threshold effects in the relationship between national expenditures on health care and national income. Using a panel threshold regression model, we derive country-specific and time-specific income elasticities for 17 OECD countries over the period 1975–2003. In contrast to many previous analyses, our empirical results show that health care is a necessity rather than a luxury. Further, the relationship between health expenditure and income seems rather nonlinear, changing over time and across countries.
|Item Type:||MPRA Paper|
|Original Title:||Health care expenditure and GDP: An international panel smooth transition approach|
|Keywords:||Health expenditure; Income elasticity; Panel smooth threshold regression models|
|Subjects:||I - Health, Education, and Welfare > I1 - Health|
|Date Deposited:||27. Mar 2009 14:43|
|Last Modified:||11. Feb 2013 17:30|
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