Income and Healthcare Financing System In the United States: An Asymmetric Analysis
Document Type
Article
Publication Date
6-18-2021
Department
Economic and Workforce Development
School
Social Science and Global Studies
Abstract
Purpose
The purpose of this study is to first assess how the US healthcare financing system is influenced by income variation. Then, it examines whether or not the impact of income variation is asymmetric.
Design/methodology/approach
For the analyses of this paper, the autoregressive distributed lag (ARDL) model is implemented to a data set covering the period from 1960 to 2018.
Findings
The results provide evidence that major funding sources of aggregate healthcare expenditure (HCE) respond differently to changes in income. The results also imply that the effect of income is not always symmetric.
Originality/value
Many studies have attempted to identify the relationship between income and HCE. A common feature of past studies is that they have only focused on aggregate HCE, while one might be interested in knowing how major funders of aggregate HCE would be affected by changes in income. Another common feature of past studies is that they have assumed that the relationship between income and HCE is symmetric.
Publication Title
Journal of Economic Studies
Recommended Citation
Barati, M.,
Fariditavana, H.
(2021). Income and Healthcare Financing System In the United States: An Asymmetric Analysis. Journal of Economic Studies.
Available at: https://aquila.usm.edu/fac_pubs/18540