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DOES HEALTH MATTER? EVIDENCE FROM THE EU15 AND TURKEY

Year 2018, , 929 - 946, 01.09.2018
https://doi.org/10.17130/ijmeb.2018445663

Abstract

This study provides evidence on the role of health in accounting for income in sixteen countries EU15 and Turkey . The relationship between health and income was analyzed with dynamic panel regression by using panel data for the 1970-2013 periods. The empirical evidence suggests that two health measures, life expectancy at birth and mortality rate have positive impacts on income. The estimates show that the relationship is even stronger for EU15 countries compared with Turkey

References

  • Acemoğlu, D. & Johnson, S. (2007). Disease and development: The effect of life expectancy on economic growth. Journal of Political Economy, 115(6), 925-985.
  • ART-CC. (2008). Life expectancy of individuals on combination antiretroviral therapy in high- income countries: a collaborative analysis of 14 cohort studies. The Lancet, 372(9635), 293-299.
  • Arora, S. (2001). Health, human productivity, and long-term economic growth. The Journal of Economic History, 61(3), 699-749.
  • Bakare, A. S. & Sanmi, O. (2011). Health care expenditure and economic growth in Nigeria: An empirical study. Journal of Emerging Trends in Economics and Management Sciences, 2(2), 83-87.
  • Baltagi, B. H. & Moscone, F. (2010). Health care expenditure and income in the OECD reconsidered: Evidence from panel data. Economic Modelling, 27, 804-811.
  • Barro, R. J. (1989). Economic growth in a cross section of countries. National Bureau of Economic Research, No. w3120.
  • Becker, G. S., Kevin, M. M. & Robert, T. (1994). Human capital, fertility, and economic growth. Human Capital: A Theoretical and Empirical Analysis with Special Reference to Education, (3rd Ed., pp. 323-350). The University of Chicago Press.
  • Bhargava, A. (1998). A dynamic model for the cognitive development of Kenyan schoolchildren. Journal of Educational Psychology, 90(1), 162.
  • Bhargava, A., Jamison, D.T., Lau, L. & Murray, C. J. (2001). Modeling the effects of health on economic growth. Journal of Health Economics, 20(3), 423-440.
  • Bloom, D. E., Canning, D. & Sevilla, J. (2004). The effect of health on economic growth: A production function approach. World Development, 32(1), 1-13.
  • Breuer, J. B., McNown, R. & Wallace, M. S. (2001). Misleading inferences from panel unit- root tests with an illustration from purchasing power parity. Review of International Economics, 9(3), 482-493.
  • Breusch, T. & Adrian, P. (1980). The Lagrange multiplier test and its applications to model specification tests in econometrics. Review of Economic Studies, 47, 239-53.
  • Djafar, F. & Husaini, D. H. (2011). The nexus between health and economic growth in selected Asian countries. International Journal of Business and Society, 12(2), 109-126.
  • Elmi, Z. M. & Sadeghi, S. (2012). Health care expenditures and economic growth in developing countries: panel co-integration and causality. Middle-East Journal of Scientific Research, 12(1), 88-91.
  • Eurostat. (2016). Retrieved December 22, 2016, from http://appsso.eurostat.ec.europa.eu/nui / show.do?dataset=demo_minfind&lang=en
  • Gyimah-Brempong, K. & Wilson, M. (2004). Health human capital and economic growth in Sub-Saharan African and OECD countries. The Quarterly Review of Economics and Finance, 44, 296-320.
  • Hadri, K. & Kurozumi, E. (2012). A simple panel stationarity test in the presence of serial correlation and a common factor. Economics Letters, 115, 31-34.
  • Kalemli-Ozcan, S., Ryder, H.E.& Weil, D.N. (2000). Mortality decline, human capital investment, and economic growth. Journal of Development Economic, 62(1), 1-23.
  • Kurt, S. (2015). Government health expenditures and economic growth: A Feder-Ram approach for the case for Turkey. International Journal of Economics and Financial Issues, 5(2), 441-447.
  • Li, H. & Huang, L. (2009). Health, education and economic growth in China: Empirical findings and implications. China Economic Review, 20, 374-387.
  • Mankiw, N. G., Romer, D. & Weil, D. N. (1992). A contribution to the empirics of economic growth. The Quarterly Journal of Economics, 107(2), 407-437.
  • Mark, N. C., Ogaki, M. & Sul, D. (2005). Dynamic seemingly unrelated co-integrating regressions. Review of Economic Studies, 72, 797-820.
  • Murthy, V. N. R. & Okunade, A. A. (2016). Determinants of U.S. health expenditure: Evidence from autoregressive distributed lag (ARDL) approach to co-integration. Economic Modelling, 59, 67-73.
  • Narayan, S., Narayan, P. K. & Mishra, S. (2010). Investigating the relationship between health and economic growth: empirical evidence from a panel of 5 Asian countries. Journal of Asian Economics, 21, 404-411.
  • Pesaran, M. H. (2004). General diagnostic tests for cross section dependence in panels. Cambridge Working Papers in Economics, 435.
  • Pesaran, M. H., Ullah, A. & Yamagata, T. (2008). A bias-adjusted lm test of error cross-section independence. Econometrics Journal, 11, 105-127.
  • Rhee, H. J. (2014). Effects of healthcare expenditure on national income: A rational expectation approach. Advanced Science and Technology Letters, 70, 19-23.
  • Rivera, B. & Currais, L. (1999). Economic growth and health: Direct impact or reverse causation? Applied Economics Letters, 6(11), 761-764.
  • Strauss, J. & Duncan, T. (1998). Health, nutrition, and economic development. Journal of Economic Literature, 36(2), 766-817.
  • Taban, S. (2006). Türkiye’de sağlık ve ekonomik büyüme arasındaki nedensellik ilişkisi. Sosyoekonomi, 2, 31-46.
  • Tekabe, L. F. (2012). Health and long run economic growth in selected low income countries of Africa South of the Sahara: Cross country panel data analysis, Student Thesis, 1-59, Södertörns University Department of Social Sciences.
  • Todaro, M. P. & Smith, S. (2012). Economic development.11th Edition, USA Boston: Pearson Education, Inc.
  • Westerlund, J. & Edgerton, D. L. (2007). A panel bootstrap co-integration test. Economic Letters, 97(3), 185-190.
  • Westerlund, J. (2008). Panel co-integration tests of the Fisher effect. Journal of Applied Econometrics, 23, 193-233.
  • World Bank. (2016). Retrieved October 1, 2016, from http://data.worldbank.org/data-catalog/ world-development-indicators
  • WHO. (2013). Research for universal health coverage: World health report 2013. Retrieved November 21, 2016, from http://www.who.int/whr/2013/report/en/
  • WHO. (2016). Life expectancy increased by 5 years since 2000, but health inequalities persist. Retrieved November 21, 2016, from http://www.who.int/mediacentre/news/ releases/2016/health-inequalities-persist/en/

SAĞLIK ÖNEMLİ Mİ? AB-15 VE TÜRKİYE’DEN GELEN KANITLAR

Year 2018, , 929 - 946, 01.09.2018
https://doi.org/10.17130/ijmeb.2018445663

Abstract

Bu çalışma 16 ülkede AB-15 ve Türkiye gelirin hesaplanmasında sağlığın rolü hakkında kanıtlar sunmaktadır. Sağlık ve gelir arasındaki ilişki, dinamik panel regresyon yöntemi ve 1970-2013 dönemine ait panel veri seti kullanılarak analiz edilmiştir. Ampirik sonuçlar, sağlık ile ilgili iki ölçümün, doğumda yaşam beklentisi ve ölüm oranı, gelir üzerinde pozitif etkisi olduğu yönündedir. Elde edilen tahminler, söz konusu ilişkinin Türkiye ile kıyaslandığında AB15 ülkeleri için daha güçlü olduğunu göstermektedir

References

  • Acemoğlu, D. & Johnson, S. (2007). Disease and development: The effect of life expectancy on economic growth. Journal of Political Economy, 115(6), 925-985.
  • ART-CC. (2008). Life expectancy of individuals on combination antiretroviral therapy in high- income countries: a collaborative analysis of 14 cohort studies. The Lancet, 372(9635), 293-299.
  • Arora, S. (2001). Health, human productivity, and long-term economic growth. The Journal of Economic History, 61(3), 699-749.
  • Bakare, A. S. & Sanmi, O. (2011). Health care expenditure and economic growth in Nigeria: An empirical study. Journal of Emerging Trends in Economics and Management Sciences, 2(2), 83-87.
  • Baltagi, B. H. & Moscone, F. (2010). Health care expenditure and income in the OECD reconsidered: Evidence from panel data. Economic Modelling, 27, 804-811.
  • Barro, R. J. (1989). Economic growth in a cross section of countries. National Bureau of Economic Research, No. w3120.
  • Becker, G. S., Kevin, M. M. & Robert, T. (1994). Human capital, fertility, and economic growth. Human Capital: A Theoretical and Empirical Analysis with Special Reference to Education, (3rd Ed., pp. 323-350). The University of Chicago Press.
  • Bhargava, A. (1998). A dynamic model for the cognitive development of Kenyan schoolchildren. Journal of Educational Psychology, 90(1), 162.
  • Bhargava, A., Jamison, D.T., Lau, L. & Murray, C. J. (2001). Modeling the effects of health on economic growth. Journal of Health Economics, 20(3), 423-440.
  • Bloom, D. E., Canning, D. & Sevilla, J. (2004). The effect of health on economic growth: A production function approach. World Development, 32(1), 1-13.
  • Breuer, J. B., McNown, R. & Wallace, M. S. (2001). Misleading inferences from panel unit- root tests with an illustration from purchasing power parity. Review of International Economics, 9(3), 482-493.
  • Breusch, T. & Adrian, P. (1980). The Lagrange multiplier test and its applications to model specification tests in econometrics. Review of Economic Studies, 47, 239-53.
  • Djafar, F. & Husaini, D. H. (2011). The nexus between health and economic growth in selected Asian countries. International Journal of Business and Society, 12(2), 109-126.
  • Elmi, Z. M. & Sadeghi, S. (2012). Health care expenditures and economic growth in developing countries: panel co-integration and causality. Middle-East Journal of Scientific Research, 12(1), 88-91.
  • Eurostat. (2016). Retrieved December 22, 2016, from http://appsso.eurostat.ec.europa.eu/nui / show.do?dataset=demo_minfind&lang=en
  • Gyimah-Brempong, K. & Wilson, M. (2004). Health human capital and economic growth in Sub-Saharan African and OECD countries. The Quarterly Review of Economics and Finance, 44, 296-320.
  • Hadri, K. & Kurozumi, E. (2012). A simple panel stationarity test in the presence of serial correlation and a common factor. Economics Letters, 115, 31-34.
  • Kalemli-Ozcan, S., Ryder, H.E.& Weil, D.N. (2000). Mortality decline, human capital investment, and economic growth. Journal of Development Economic, 62(1), 1-23.
  • Kurt, S. (2015). Government health expenditures and economic growth: A Feder-Ram approach for the case for Turkey. International Journal of Economics and Financial Issues, 5(2), 441-447.
  • Li, H. & Huang, L. (2009). Health, education and economic growth in China: Empirical findings and implications. China Economic Review, 20, 374-387.
  • Mankiw, N. G., Romer, D. & Weil, D. N. (1992). A contribution to the empirics of economic growth. The Quarterly Journal of Economics, 107(2), 407-437.
  • Mark, N. C., Ogaki, M. & Sul, D. (2005). Dynamic seemingly unrelated co-integrating regressions. Review of Economic Studies, 72, 797-820.
  • Murthy, V. N. R. & Okunade, A. A. (2016). Determinants of U.S. health expenditure: Evidence from autoregressive distributed lag (ARDL) approach to co-integration. Economic Modelling, 59, 67-73.
  • Narayan, S., Narayan, P. K. & Mishra, S. (2010). Investigating the relationship between health and economic growth: empirical evidence from a panel of 5 Asian countries. Journal of Asian Economics, 21, 404-411.
  • Pesaran, M. H. (2004). General diagnostic tests for cross section dependence in panels. Cambridge Working Papers in Economics, 435.
  • Pesaran, M. H., Ullah, A. & Yamagata, T. (2008). A bias-adjusted lm test of error cross-section independence. Econometrics Journal, 11, 105-127.
  • Rhee, H. J. (2014). Effects of healthcare expenditure on national income: A rational expectation approach. Advanced Science and Technology Letters, 70, 19-23.
  • Rivera, B. & Currais, L. (1999). Economic growth and health: Direct impact or reverse causation? Applied Economics Letters, 6(11), 761-764.
  • Strauss, J. & Duncan, T. (1998). Health, nutrition, and economic development. Journal of Economic Literature, 36(2), 766-817.
  • Taban, S. (2006). Türkiye’de sağlık ve ekonomik büyüme arasındaki nedensellik ilişkisi. Sosyoekonomi, 2, 31-46.
  • Tekabe, L. F. (2012). Health and long run economic growth in selected low income countries of Africa South of the Sahara: Cross country panel data analysis, Student Thesis, 1-59, Södertörns University Department of Social Sciences.
  • Todaro, M. P. & Smith, S. (2012). Economic development.11th Edition, USA Boston: Pearson Education, Inc.
  • Westerlund, J. & Edgerton, D. L. (2007). A panel bootstrap co-integration test. Economic Letters, 97(3), 185-190.
  • Westerlund, J. (2008). Panel co-integration tests of the Fisher effect. Journal of Applied Econometrics, 23, 193-233.
  • World Bank. (2016). Retrieved October 1, 2016, from http://data.worldbank.org/data-catalog/ world-development-indicators
  • WHO. (2013). Research for universal health coverage: World health report 2013. Retrieved November 21, 2016, from http://www.who.int/whr/2013/report/en/
  • WHO. (2016). Life expectancy increased by 5 years since 2000, but health inequalities persist. Retrieved November 21, 2016, from http://www.who.int/mediacentre/news/ releases/2016/health-inequalities-persist/en/
There are 37 citations in total.

Details

Primary Language English
Journal Section Research Article
Authors

Tuğba Akın This is me

Sedat Alataş This is me

Burcu Yılmaz This is me

Publication Date September 1, 2018
Published in Issue Year 2018

Cite

APA Akın, T., Alataş, S., & Yılmaz, B. (2018). DOES HEALTH MATTER? EVIDENCE FROM THE EU15 AND TURKEY. Uluslararası Yönetim İktisat Ve İşletme Dergisi, 14(4), 929-946. https://doi.org/10.17130/ijmeb.2018445663