Revue d'économie et de statistique appliquée
Volume 21, Numéro 1, Pages 45-56
2024-07-25
Factors Driving The Increase In Health Expenditure In Algeria From 2000 To 2020
Authors : Boudjemaa Fatiha . Cherif Assia .
Abstract
The aim of the study is to analyze the determinants of total health expenditure in Algeria from 2000 to 2020. An econometric analysis was performed using the error correction model (VECM), which is characterized by a single cointegration relationship. After estimating and validating the model, empirical results show that gross domestic product, population growth rate and aging rate explain total health expenditure at 80.42% with an adjusted R2 equal to 72.92%. Gross domestic product has a modest effect. By contrast, population growth rate and the rate of aging are major factors behind the increase in total health expenditure. At the same time, we think it would be interesting to introduce other variables such as technical progress, healthcare workers, or to study the source of financing for these expenses.
Keywords
Total health expenditure ; Determining factors ; VECM model ; Econometric analysis ; Algeria
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