2009
DOI: 10.1002/hec.1557
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Effects of state‐level public spending on health on the mortality probability in India

Abstract: This study uses the second National Family Health Survey (NFHS-2) of India to estimate the effect of state-level public health spending on mortality across all age groups, controlling for individual, household, and state-level covariates. We use a state’s gross fiscal deficit as an instrument for its health spending. Our study shows a 10 % increase in public spending on health in India decreases the average probability of death by about 2%, with effects mainly on the young, the elderly, and women. Other major … Show more

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Cited by 77 publications
(56 citation statements)
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“…The studies by Wagstaff and Claeson (2004) and the World Bank (2004) also revealed insignificant effect of public health spending on infant and under-five mortality. A number of Indian studies have also come out with a similar finding (Deolalikar, 2004;Bhalotra, 2007;Farahani et al, 2010).…”
Section: Discussionmentioning
confidence: 55%
See 1 more Smart Citation
“…The studies by Wagstaff and Claeson (2004) and the World Bank (2004) also revealed insignificant effect of public health spending on infant and under-five mortality. A number of Indian studies have also come out with a similar finding (Deolalikar, 2004;Bhalotra, 2007;Farahani et al, 2010).…”
Section: Discussionmentioning
confidence: 55%
“…A study by Bhalotra (2007) found a significant effect of public health expenditure on infant mortality. Farahani et al (2010) found that public health expenditure reduced the probability of death among women, young, and elderly in India.…”
Section: Introductionmentioning
confidence: 99%
“…The impact of pensions, or, more generally, of income on life expectancy, has been well studied (as for example in Smith (1999);Cutler et al (2006)). The assumption that health care has a direct impact on survival has also been well established (Farahani et al, 2010). However, less is known about the mediating effects of social contacts and ties, which may in turn be influenced by income and health.…”
Section: Source: Own Considerationsmentioning
confidence: 99%
“…While the need for increasing public expenditure on health care seems necessary from a policy perspective, existing studies on the issue present at best a mixed picture. While some papers report that public expenditure on health care has very little effect, if at all, on health outcomes (Filmer and Pritchett, 1999;Kaur and Misra, 2003;Deolalikar et al, 2004), others find some positive impact (Anand and Ravallion, 1993;Bhalotra, 2007;Farahani et al, 2010).…”
Section: Introductionmentioning
confidence: 99%
“…Studies which use state-level panel data sets usually report that there is no significant relation between public health expenditure and health outcomes (Kaur and Misra, 2003;Deolalikar et al, 2004). On the other hand, some studies that have used individual level cross-sectional data from the National Family and Health Surveys do find some effect of public health expenditure on the probability of infant death (Bhalotra, 2007;Farahani et al, 2010).…”
Section: Introductionmentioning
confidence: 99%