Health Care Expenditures in OECD Countries: A Panel Unit Root and Cointegration Analysis

Christian Dreger and Hans-Eggert Reimers

International Journal of Applied Econometrics and Quantitative Studies, 2005, vol. 2, issue 2, 5-20

Abstract: This paper examines the linkationship between health care expenditures and gdp for 21 oecd countries using panel cointegration techniques. the analysis accounts for the fact that health care expenditures are not solely driven by income, but also by medical progress, where different measures are used. in the extended models, cointegration can be established. the income elasticity is not different from unity, implying that health care is not a luxury good. this finding is robust for alternative proxies of medical progress, and various estimators of the cointegration vector. in addition, cointegration can be detected even between nonstationary common factors.

Keywords: health care expenditures; medical progress, panel cointegration, common factors (search for similar items in EconPapers)
JEL-codes: C23 I10 (search for similar items in EconPapers)
Date: 2005
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (96)

Downloads: (external link)
http://www.usc.es/economet/reviews/ijaeqs221.pdf
No

Related works:
Working Paper: Health Care Expenditures in OECD Countries: A Panel Unit Root and Cointegration Analysis (2005)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eaa:ijaeqs:v:2:y2005:i:2_1

Ordering information: This journal article can be ordered from
http://www.usc.es/economet/info.htm

Access Statistics for this article

More articles in International Journal of Applied Econometrics and Quantitative Studies from Euro-American Association of Economic Development
Bibliographic data for series maintained by M. Carmen Guisan ().