2014
DOI: 10.1111/roiw.12103
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Health Policy and Equity of Health Care Financing in Australia: 1973–2010

Abstract: Using data from Australian Taxation Statistics and Household Expenditure Surveys we analyze the distribution of health care financing in Australia over almost four decades. We compute Kakwani Progressivity indices for four sources of health care financing: general taxation, Medicare Levy payments, Medicare Levy Surcharge payments, and direct consumer payments, and estimate the effects of major policy changes on them. The results demonstrate that the first three of these sources of health care financing are pro… Show more

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Cited by 13 publications
(14 citation statements)
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“…Our study builds on previous research on the redistributive effects of state financing by taxes in general [ 16 – 19 ] and of different financing instruments in the healthcare sector (tax, social health insurance contribution, private health insurance premium, and OOPP) [ 5 9 , 20 25 ]. The study contributes to the empirical research on the redistributive effects of OOPP in several ways.…”
Section: Discussionmentioning
confidence: 99%
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“…Our study builds on previous research on the redistributive effects of state financing by taxes in general [ 16 – 19 ] and of different financing instruments in the healthcare sector (tax, social health insurance contribution, private health insurance premium, and OOPP) [ 5 9 , 20 25 ]. The study contributes to the empirical research on the redistributive effects of OOPP in several ways.…”
Section: Discussionmentioning
confidence: 99%
“…Unfortunately, the statistical basis for this evidence is rather old. In a more recent study for Australia covering 1975–2003, Hajiuzabeh, Connelly, and Butler find Kakwani indices for OOPP in a similar range to Austria (between −0.0975 in 2003–2004 and −0.192 in 1988–1989) [ 9 ]. For Hungary, Baji, Pavlova, Gulácsi, and Groot estimate a Kakwani index for total OOPP of −0.22 in 2005–2008 [ 22 ].…”
Section: Discussionmentioning
confidence: 99%
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“…The unfair distribution of OOP payment for healthcare can negatively influence equity in healthcare financing, and this can be measured using the Kakwani progressivity index (KPI), which is one of the most commonly used methods [ 9 , 14 ]. An increase in households’ OOP payment for healthcare services with an increase in income indicates a progressivity in OOP payment and an increase in OOP payment with a reduction in income shows a regressivity in OOP payment for healthcare [ 15 ]. In Iran, there is limited evidence on the trend of equity in healthcare financing.…”
Section: Introductionmentioning
confidence: 99%
“…An appropriate method for determining the progressivity of financing systems is the use of the indicators that represent payments based on the proportion of income [8]. The Kakwani index, which is in fact derived from the difference between the concentration index (inequality in healthcare payments) and the Gini coefficient (income inequality) is used to understand the progressivity (increases in the health payments with increased income) or regressivity (increases in the health payments with reduced income) of the health financing system [9].…”
Section: Introductionmentioning
confidence: 99%