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Determinants of Public Health Expenditure Growth in Tanzania: An Application of Bayesian Model

Author

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  • Byaro, Mwoya
  • Kinyondo, Abel
  • Michello, Charles
  • Musonda, Patrick
Abstract
This paper identifies some major drivers of per capita public health expenditure growth in Tanzania using nationally representative annual data between 1995 and 2014. It used Bayesian model based on Markov Chain Monte Carlo (MCMC) simulation. The empirical result shows that both the real GDP per capita and population age 65 years and older exert a positive effect on per capita public health expenditure growth in Tanzania. Advances in medical technologies represented by life expectancy seem to reduce real per capita public health expenditure growth in Tanzania. However, the credible intervals for life expectancy and population age 65 years and older are very wide suggesting a lot of uncertainty with these estimates. The results imply that, future trends in per capita public health spending would mainly depend on the development of the economy such as real per capita gross domestic product. The result suggests the rapid growth in real per capita public health expenditure is likely to continue in future when the country economy becomes more robust and increase of population age 65 years and above.

Suggested Citation

  • Byaro, Mwoya & Kinyondo, Abel & Michello, Charles & Musonda, Patrick, 2018. "Determinants of Public Health Expenditure Growth in Tanzania: An Application of Bayesian Model," African Journal of Economic Review, African Journal of Economic Review, vol. 6(1), January.
    • Handle: RePEc:ags:afjecr:274740
    DOI: 10.22004/ag.econ.274740
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    References listed on IDEAS

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    Cited by:

    1. Byaro, Mwoya & Mayaya, Hozen & Pelizzo, Riccardo, 2022. "Sustainable Development Goals for Sub-Saharan Africans' by 2030: A Pathway to Longer Life Expectancy via Higher Health-Care Spending and Low Disease Burdens," African Journal of Economic Review, African Journal of Economic Review, vol. 10(2), March.
    2. Olayiwola, Saheed O. & Bakare-Aremu, Tunde Abubakar & Abiodun, S.O., 2021. "Public Health Expenditure and Economic Growth in Nigeria: Testing of Wagner's Hypothesis," African Journal of Economic Review, African Journal of Economic Review, vol. 9(2), April.
    3. Kazungu, Khatibu & Byaro, Mwoya, 2023. "Road to Divorce in Tanzania: What are the Main Factors?," African Journal of Economic Review, African Journal of Economic Review, vol. 11(5), December.
    4. Byaro, Mwoyo & Kinyondo, Abel, 2020. "Institutional Quality Explains the Difference of Natural Gas Revenues to Contribute in the Economy: Empirical Evidence from Tanzania," African Journal of Economic Review, African Journal of Economic Review, vol. 8(3), November.
    5. Sacit SARI, 2024. "Do Changes in Demographic Factors Affect Public Health Expenditures? The Case of Turkiye," Bingol University Journal of Economics and Administrative Sciences, Bingol University, Faculty of Economics and Administrative Sciences, vol. 8(1), pages 145-160, June.
    6. Byaro, Mwoya & Msafiri, Derick, 2021. "The uncertainty of natural gas consumption in Tanzania to support economic development. Evidence from Bayesian estimates," African Journal of Economic Review, African Journal of Economic Review, vol. 9(4), September.

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