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Impacts of health expenditure financing on infant mortality and diminishing returns: Implications for sub-saharan africa
- Impacts of health expenditure financing on infant mortality and diminishing returns: Implications for sub-saharan africa
- Bang Y.; Oh J.
- Ewha Authors
- SCOPUS Author ID
- Issue Date
- Journal Title
- Global Business and Finance Review
- Global Business and Finance Review vol. 25, no. 4, pp. 25 - 32
- Diminishing Returns; Health Expenditure; Infant Mortality; Sub-Saharan Africa
- People and Global Business Association
- SCOPUS; KCI
- Document Type
- Purpose: This study examines the impacts of health expenditures on infant mortality. Design/methodology/approach: This study is based on a comprehensive panel data of 100 countries (31 developed and 69 developing countries) for 18 years (2000-2017) and, based on the Hausman Test, applies fixed effect analyses. Findings: Not only a negative relationship between health expenditures and the infant mortality rate but its diminishing returns are found. This pattern turns out to be stronger in developing countries, particularly in Sub-Saharan Africa. It appears that a country can easily target the most needed class or region to effectively minimize infant mortality given a limited amount of health expenditure, but that same amount may not suffice in reaching defined goals. Research limitations/implications: This implies that the rising amounts of health expenditure would be needed if countries seek to decrease infant mortality at the same rate as they had previously done. To expedite a response, multi-agency or multi-national coordination is essential, and an effective means of mobilizing resources, such as basket funding or program-based approaches, would be desirable. Originality/value: With an up-to-date dataset, this study confirms the effectiveness of health expenditure disburse-ment with its diminishing returns, which may shed light to developing countries in designing relevant policies. © 2020 People and Global Business Association.
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