Is there a strong positive relationship between life expectancy and health care spending?

In addition to studies on the relationship between health care costs and health outcomes in countries in the Middle East and Africa, many researchers have tried to examine this association in European countries. In sub-Saharan African countries, they documented a positive relationship, but in North Africa, the results indicated a negative relationship between healthcare spending and health outcomes. However, there are still concerns about the quality of care, the prevention and treatment of non-communicable diseases (NCDs), the effectiveness of the delivery of health services, the management of health care costs, and the level of public satisfaction. Life expectancy is used as a dependent variable, while health spending, GDP per capita, population growth and renewable energy are independent variables.

Over the past decade, total health spending, comprising public and private health expenditures, has increased in most East African countries. This article investigates the relationship between healthcare spending and health outcomes using panel techniques for eight countries in East Africa (Burundi, Eritrea, Ethiopia, Kenya, Rwanda, Sudan, Tanzania and Uganda). Therefore, the results of this study suggest that the government should increase spending on health to improve life expectancy in China. Their results showed an asymmetric relationship between CO2 emissions and health spending, and they argued that an increase in environmental pollution could increase health spending.

Similarly, renewable energy also increases life expectancy in both the short and long term, indicating that the consumption of renewable energy improves the quality of the environment, thus improving life expectancy both in the short and long term. The variation in GDP shows positive implications for LE from the first to the eighth period; however, it became negative in the period from 8 to 10.This negative association may occur because higher GDP growth increases environmental pollution, mainly due to industrialization and economic development, which increases pollution and reduces LE. However, spending on health, through the moderating effect of government effectiveness, reduces life expectancy. Other researchers have examined associations between public health spending and other variables.

However, insufficient spending on health care can create impediments for the poor public to obtain basic health care services. Second, the results indicate a negative relationship between health care costs and the number of deaths in neonates, children and children under five years of age.

Christine Febles
Christine Febles

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