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The association between medical spending and health status: A study of selected African countries

<jats:p>BackgroundThe report from the World Health Organization (WHO) reveals that health spending worldwide remains highly unequal as more than 80% of the world’s population live in low and middle-income countries but only account for about 20% of global health expenditure. Another report by...

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Journal Title: Malawi Medical Journal
Authors and Corporations: Bein, Murad
In: Malawi Medical Journal, 32, 2020, 1, p. 37-44
Type of Resource: E-Article
Language: Undetermined
published:
African Journals Online (AJOL)
Subjects:
General Medicine
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rft.atitle The association between medical spending and health status: A study of selected African countries
rft.epage 44
rft.genre article
rft.issn 1995-7262
1995-7262
rft.issue 1
rft.jtitle Malawi Medical Journal
rft.tpages 8
rft.pages 37-44
rft.pub African Journals Online (AJOL)
rft.date 2020-03-31
x.date 2020-03-31T00:00:00Z
rft.spage 37
rft.volume 32
abstract <jats:p>BackgroundThe report from the World Health Organization (WHO) reveals that health spending worldwide remains highly unequal as more than 80% of the world’s population live in low and middle-income countries but only account for about 20% of global health expenditure. Another report by the WHO on the state of health financing in Africa published in 2013 intimates that countries that are part of their member states are still on the average level in meeting set goals in financing key health projects. ObjectiveThe study set out to investigate the association between public and private spending and health status for eight selected African countries, namely Burundi, Eritrea, Ethiopia, Kenya, Rwanda, Sudan, Tanzania and Uganda. Health status indicators include the incidence of tuberculosis, mortality rates, maternal deaths and prevalence of HIV. MethodsDescriptive statistics and pairwise correlation are used to assess the relationship between healthcare spending and health status. Random and fixed effect models are further employed to provide insights into the association between descriptive statistics and pairwise correlation. We used annual data from the year 2000 to 2014 obtained from world development indicators.ResultsThe relationship between healthcare spending (public and private) and health status is statistically significant. Public healthcare expenditure has a higher association than private expenditure in reducing the mortality rate, tuberculosis and HIV for the average country in our sample. For example, an increase in public healthcare spending is negatively associated and statistically significant at 5% or better in reducing female mortality, male mortality, tuberculosis and HIV. Private healthcare spending is more impactful in the area of maternal deaths, where it is associated negatively and statistically significant at 1%. An increase in private healthcare spending is linked to a reduction in maternal deaths. We also compared the association between an increase in healthcare spending on males versus females and observed that public health expenditure impacts the health status of both sexes equally, however, private health expenditure provides a greater positive benefit to males. It is worth remembering that two goals of the United Nations agenda on sustainable development are gender equality and ensuring healthcare for all. ConclusionThe findings of this research call for the selected African countries to pay more attention to public healthcare expenditure in order to improve health status, especially since private healthcare which provides access to healthcare facilities for some poor people leads to costs that are a burden. So, future research should focus on analyzing components of private healthcare spending such as direct household out-of-pocket spending, private insurance and direct service payments by private corporations as dependent variables to understand what form of private investment should be encouraged. </jats:p>
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description<jats:p>BackgroundThe report from the World Health Organization (WHO) reveals that health spending worldwide remains highly unequal as more than 80% of the world’s population live in low and middle-income countries but only account for about 20% of global health expenditure. Another report by the WHO on the state of health financing in Africa published in 2013 intimates that countries that are part of their member states are still on the average level in meeting set goals in financing key health projects. ObjectiveThe study set out to investigate the association between public and private spending and health status for eight selected African countries, namely Burundi, Eritrea, Ethiopia, Kenya, Rwanda, Sudan, Tanzania and Uganda. Health status indicators include the incidence of tuberculosis, mortality rates, maternal deaths and prevalence of HIV. MethodsDescriptive statistics and pairwise correlation are used to assess the relationship between healthcare spending and health status. Random and fixed effect models are further employed to provide insights into the association between descriptive statistics and pairwise correlation. We used annual data from the year 2000 to 2014 obtained from world development indicators.ResultsThe relationship between healthcare spending (public and private) and health status is statistically significant. Public healthcare expenditure has a higher association than private expenditure in reducing the mortality rate, tuberculosis and HIV for the average country in our sample. For example, an increase in public healthcare spending is negatively associated and statistically significant at 5% or better in reducing female mortality, male mortality, tuberculosis and HIV. Private healthcare spending is more impactful in the area of maternal deaths, where it is associated negatively and statistically significant at 1%. An increase in private healthcare spending is linked to a reduction in maternal deaths. We also compared the association between an increase in healthcare spending on males versus females and observed that public health expenditure impacts the health status of both sexes equally, however, private health expenditure provides a greater positive benefit to males. It is worth remembering that two goals of the United Nations agenda on sustainable development are gender equality and ensuring healthcare for all. ConclusionThe findings of this research call for the selected African countries to pay more attention to public healthcare expenditure in order to improve health status, especially since private healthcare which provides access to healthcare facilities for some poor people leads to costs that are a burden. So, future research should focus on analyzing components of private healthcare spending such as direct household out-of-pocket spending, private insurance and direct service payments by private corporations as dependent variables to understand what form of private investment should be encouraged. </jats:p>
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spellingBein, Murad 1995-7262 1995-7262 African Journals Online (AJOL) General Medicine http://dx.doi.org/10.4314/mmj.v32i1.8 <jats:p>BackgroundThe report from the World Health Organization (WHO) reveals that health spending worldwide remains highly unequal as more than 80% of the world’s population live in low and middle-income countries but only account for about 20% of global health expenditure. Another report by the WHO on the state of health financing in Africa published in 2013 intimates that countries that are part of their member states are still on the average level in meeting set goals in financing key health projects. ObjectiveThe study set out to investigate the association between public and private spending and health status for eight selected African countries, namely Burundi, Eritrea, Ethiopia, Kenya, Rwanda, Sudan, Tanzania and Uganda. Health status indicators include the incidence of tuberculosis, mortality rates, maternal deaths and prevalence of HIV. MethodsDescriptive statistics and pairwise correlation are used to assess the relationship between healthcare spending and health status. Random and fixed effect models are further employed to provide insights into the association between descriptive statistics and pairwise correlation. We used annual data from the year 2000 to 2014 obtained from world development indicators.ResultsThe relationship between healthcare spending (public and private) and health status is statistically significant. Public healthcare expenditure has a higher association than private expenditure in reducing the mortality rate, tuberculosis and HIV for the average country in our sample. For example, an increase in public healthcare spending is negatively associated and statistically significant at 5% or better in reducing female mortality, male mortality, tuberculosis and HIV. Private healthcare spending is more impactful in the area of maternal deaths, where it is associated negatively and statistically significant at 1%. An increase in private healthcare spending is linked to a reduction in maternal deaths. We also compared the association between an increase in healthcare spending on males versus females and observed that public health expenditure impacts the health status of both sexes equally, however, private health expenditure provides a greater positive benefit to males. It is worth remembering that two goals of the United Nations agenda on sustainable development are gender equality and ensuring healthcare for all. ConclusionThe findings of this research call for the selected African countries to pay more attention to public healthcare expenditure in order to improve health status, especially since private healthcare which provides access to healthcare facilities for some poor people leads to costs that are a burden. So, future research should focus on analyzing components of private healthcare spending such as direct household out-of-pocket spending, private insurance and direct service payments by private corporations as dependent variables to understand what form of private investment should be encouraged. </jats:p> The association between medical spending and health status: A study of selected African countries Malawi Medical Journal
spellingShingleBein, Murad, Malawi Medical Journal, The association between medical spending and health status: A study of selected African countries, General Medicine
titleThe association between medical spending and health status: A study of selected African countries
title_fullThe association between medical spending and health status: A study of selected African countries
title_fullStrThe association between medical spending and health status: A study of selected African countries
title_full_unstemmedThe association between medical spending and health status: A study of selected African countries
title_shortThe association between medical spending and health status: A study of selected African countries
title_sortthe association between medical spending and health status: a study of selected african countries
topicGeneral Medicine
urlhttp://dx.doi.org/10.4314/mmj.v32i1.8
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