Flush toilet use and its impact on health and non‐health expenditures

Abstract

AbstractThis study analysed the effects of flush toilet use on health and non‐health expenditures incurred by rural Chinese. The instrumental‐variable‐based Tobit and endogenous treatment regression models were used to analyse the 2016 China Labour Force Dynamics Survey data while addressing the selection bias inherent in flush toilet use. The results showed that by improving rural residents' physical and mental health, flush toilet use reduced per capita health expenditure while increasing non‐health expenditure. Furthermore, using flush toilets had positive spillover effects, reducing the health expenditures of even those who did not use them. Factors affecting flush toilet use were also analysed.