Healthcare Expenditure and GDP Growth in D8 Countries

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REZAZADEH ALI; Mohamadpour Siavash; Aghabeigi Arian

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Journal: THE JOURNAL OF PLANNING AND BUDGETING Year:2019 | Volume:23 | Issue:4 Page(s): 37-62

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Information Journal Paper

Title

Healthcare Expenditure and GDP Growth in D8 Countries

Author(s)

REZAZADEH ALI | Mohamadpour Siavash | Aghabeigi Arian | Issue Writer Certificate

Keywords

Economic GrowthQ2

Healthcare ExpenditureQ1

D-8 CountriesQ1

Bootstrap Panel Granger Causality TestQ1

Konya MethodQ1

Abstract

Being aware of the relationship between health expenditure and Economic Growth is an important issue in any country. Theoretically, it is expected that there is a two-way causal relationship between health expenditure and Economic Growth, but the relationship between these two variables should be tested empirically based on econometric techniques in different countries. Konya has proposed a new method for investigating Granger causality in a panel data framework which incorporates both coefficient heterogeneity and cross-sectional dependence. His new approach is based on SUR systems and Wald tests with country-specific bootstrap critical values. As a result, in this paper, Konya’ s Bootstrap Panel Granger Causality approach has been used, based on the data from D-8 Countries (Bangladesh, Egypt, Nigeria, Indonesia, Iran, Malaysia, Pakistan, and Turkey) over the period 1995-2014. The results show that the real Healthcare Expenditure per capita is the Granger cause of the real GDP growth in Indonesia, Iran, and Malaysia, while in Pakistan the real GDP growth is found as the Granger cause of the real Healthcare Expenditure per capita. There was however no evidence of causality for the other countries.

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APA: Copy

REZAZADEH, ALI, Mohamadpour, Siavash, & Aghabeigi, Arian. (2019). Healthcare Expenditure and GDP Growth in D8 Countries. THE JOURNAL OF PLANNING AND BUDGETING, 23(4 ), 37-62. SID. https://sid.ir/paper/385764/en

Vancouver: Copy

REZAZADEH ALI, Mohamadpour Siavash, Aghabeigi Arian. Healthcare Expenditure and GDP Growth in D8 Countries. THE JOURNAL OF PLANNING AND BUDGETING[Internet]. 2019;23(4 ):37-62. Available from: https://sid.ir/paper/385764/en

IEEE: Copy

ALI REZAZADEH, Siavash Mohamadpour, and Arian Aghabeigi, “Healthcare Expenditure and GDP Growth in D8 Countries,” THE JOURNAL OF PLANNING AND BUDGETING, vol. 23, no. 4 , pp. 37–62, 2019, [Online]. Available: https://sid.ir/paper/385764/en

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