Abstract
Most of the literature on the determinants of health expenditure is focused on the relationship between health care expenditure and income. We investigate the interactive effect of income and intelligence on health expenditure, using data from 172 countries, over the period from 2009 to 2013. The results show that the income elasticity of health expenditure is greater than 1 but only if a nation's level of IQ score beyond a certain threshold (about 95), while for low-IQ nations, health care is a necessity. Moreover, various robustness checks largely support the robustness of our main findings.
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Disclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.