Skip to main content

Advertisement

Log in

Distribution of the benefits from public health expenditures in Ghana

  • Published:
Quality & Quantity Aims and scope Submit manuscript

Abstract

Government intervention in the healthcare market is, partly, justified on grounds of equity and redistribution. The intervention usually comes in the form of expenditures—direct provision of care and subsidies—in many developing countries. Given the expected redistributive impact of public health expenditures, the aim of this paper was to establish the beneficiaries of public health spending in Ghana using utilisation data for outpatient care. We applied utilisation incidence analysis on outpatient healthcare utilisation data from the Study on Global AGEing and Adult Health, Ghana Wave 1 to conduct the analysis. The results show that ill-health was high in the rural areas, particularly among low income groups. While utilisation of public healthcare facilities for outpatient care was generally high, there was some disparities in utilisation. That is, utilisation of public health services, especially hospital care, was unfairly distributed among various income/wealth groups. Implications of these findings are that policymakers should continue to devise means to ensure equitable and even distribution of healthcare services, particularly hospital care, so that the poor and other vulnerable groups, whose plight call for government intervention, benefit.

This is a preview of subscription content, log in via an institution to check access.

Access this article

Price excludes VAT (USA)
Tax calculation will be finalised during checkout.

Instant access to the full article PDF.

Fig. 1
Fig. 2

Similar content being viewed by others

Notes

  1. Community-Based and Health Planning Services (CHPS) compounds are lower level public health facilities that provide outpatient primary healthcare services in rural areas. The facilities are below health centres and clinics. Emergency first aid services to patients are usually provided by CHPS compound before referral.

References

  • Acharya, D., Vaidyanathan, G., Muraleedharan, V., Dheenadayalan, D., Dash, U.: Do the Poor Benefit from Public Spending on Healthcare in India? Results from Benefit (Utilization) Incidence Analysis in Tamil Nadu and Orissa. CREHS (2011)

  • Akazili, J., Garshong, B., Aikins, M., Gyapong, J., McIntyre, D.: Progressivity of health care financing and incidence of service benefits in Ghana. Health Policy Plan. 27, 13–22 (2012). doi:10.1093/heapol/czs004

    Article  Google Scholar 

  • Arrow, K.: Uncertainty and the welfare economics of medical care. Am. Econ. Rev. 53, 941–973 (1963)

    Google Scholar 

  • Auster, R., Leveson, I., Sarachek, D.: The production of health, an exploratory study. J. Hum. Resour. 4(4), 411–436 (1969)

    Article  Google Scholar 

  • Berger, M.C., Messer, J.: Public financing of health expenditures, insurance, and health outcomes. Appl. Econ. 34(17), 2105–2113 (2002)

    Article  Google Scholar 

  • Besley, T., Coate, S.: Public provision of private goods and the redistribution of income. Am. Econ. Rev. 81(4), 979–984 (1991)

    Google Scholar 

  • Bidani, M., Ravallion, M.: Decomposing Social Indicators Using Distributional Data. World Bank Working Paper 1487 (1995)

  • Biritwum, R., Mensah, G., Yawson, A., Minicuci, N.: Study on global AGEing and adult health (SAGE) Wave 1: The Ghana National Report (2013)

  • Boachie, M.K., Ramu, K.: Effect of public health expenditure on health status in Ghana. Int. J. Health 4(1), 6–11 (2016). doi:10.14419/ijh.v4i1.5794

    Article  Google Scholar 

  • Bokhari, F.A., Gai, Y., Gottret, P.: Government health expenditures and health outcomes. Health Econ. 16(3), 257–273 (2007)

    Article  Google Scholar 

  • Bose, M., Dutta, A.: Inequity in hospitalization care: a study on utilisation of healthcare services in West Bengal, India. Int. J. Health Policy Manag. 4, 29–38 (2015). doi:10.15171/ijhpm.2015.05

    Article  Google Scholar 

  • Bose, M.: Access to in-patient healthcare in West Bengal: A benefit incidence analysis. International Institute for Population Sciences, Mumbai (2014)

    Google Scholar 

  • Canagarajah, S., Ye, X.: Public Health and Education Spending in Ghana 1992–1998: Issues of Equity and Efficiency. The World Bank, Washington, DC (2001)

    Google Scholar 

  • Castro-Leal, F., Dayton, J., Demery, L., Mehra, K.: Public social spending in Africa: Do the poor benefit? World Bank Res. Obs. 14, 49–72 (1999). doi:10.1093/wbro/14.1.49

    Article  Google Scholar 

  • Chakraborty, L., Singh, Y., Jacob, J.F.: Public Expenditure Benefit Incidence on Health: Selective Evidence from India. National Institute of Public Finance and Policy, New Delhi (2012)

    Google Scholar 

  • Chen, M., Fang, G., Wang, L., Wang, Z., Zhao, Y., Si, L.: Who benefits from government healthcare subsidies? An assessment of the equity of healthcare benefits distribution in China. PLoS ONE 10(3), e0119840 (2015). doi:10.1371/journal.pone.0119840

    Article  Google Scholar 

  • Davis, K.: Inequality and access to health care. Milbank Q. 69, 253–273 (1999). doi:10.2307/3350204

    Article  Google Scholar 

  • Davoodi, H.R., Tiongson, E.R., Asawanuchit, S.S.: Benefit incidence of public education and health spending worldwide: evidence from a new database. Poverty Public Policy 2(2), 5–52 (2010)

    Article  Google Scholar 

  • Davoodi, H.R., Tiongson, E.R., Asawanuchit, S.S.: How Useful are Benefit Incidence Analysis of Public Education and Health Spending? IMF Working Paper 03/22733, International Monetary Fund, Washington D.C. (2003)

  • Demery, L., Gaddias, I.: Social Spending, Poverty and Gender Equity in Kenya: A Benefit Incidence Analysis. Support to Public Finance Management Reforms, Kenya (2009)

    Google Scholar 

  • Demery, L.: Benefit Incidence: A Practitioner’s Guide. World Bank, Washington, D.C. (2000)

    Google Scholar 

  • Filmer, D., Pritchett, L.: The impact of public spending on health: does money matter? Soc. Sci. Med. 49(10), 1309–1323 (1999)

    Article  Google Scholar 

  • Ghana Statistical Service: Poverty profile in Ghana: 2005–2013. Ghana Statistical Service. Accra, Ghana (2014)

    Google Scholar 

  • Gillespie, W.I.: Effect of public expenditures on the distribution of income. In: Musgrave, R. (ed.) Essays in Fiscal Federalism. The Brookings Institution, Washington (1965)

    Google Scholar 

  • Gwatkin, D.R.: Health inequalities and the health for the poor: what do we know? What can we do? Bulletin of the WHO 78, 3–18 (2000)

    Google Scholar 

  • Halasa, Y., Nassar, H., Zaky, H.: Benefit-incidence analysis of government spending on Ministry of Health outpatient services in Jordan. East Mediterr. Health J. 16, 467–473 (2010)

    Google Scholar 

  • http://web.archive.org/web/20070625163825/http://www.saga.cornell.edu/images/vandenboom.pdf

  • Jimenez, E.: Pricing Policy in the Social Sectors: Cost Recovery for Education and Health in Developing Countries. The Johns Hopkins University Press, Baltimore (1987)

    Google Scholar 

  • Kim, T.K., Lane, S.R.: Government health expenditure and public health outcomes: a comparative study among 17 countries and implications for US Health care reform. Am. Int. J. Contemp. Res. 3(9), 8–13 (2013)

    Google Scholar 

  • Kwesiga, B., Ataguba, J.E., Abewe, C., Kizza, P., Zikusooka, C.M.: Who pays for and who benefits from health care services in Uganda? BMC Health Serv. Res. 15, 44 (2015). doi:10.1186/s12913-015-0683-9

    Article  Google Scholar 

  • LeGrand, J.: The distribution of public expenditure: the case of health care. Economica 45, 125–142 (1978)

    Article  Google Scholar 

  • Leu, R.E., Frey, R.L., Buhmann, B.: Taxes, expenditures, and income distribution in Switzerland. J. Soc. Policy 14, 341–360 (1985)

    Article  Google Scholar 

  • Mahal, A., Yazbeck, A.S., Peters, D.H., Ramanan, G.N.: The Poor and Health Service Use in India. Health, Nutrition and Population (HNP) Discussion Paper, World Bank (2001)

  • McIntyre, D., Ataguba, J.E.: How to do (or not to do) a benefit incidence analysis. Health Policy Plan 2011 26, 174–182 (2011). doi:10.1093/heapol/czq031

    Article  Google Scholar 

  • Mohapatra, S.: Health inequity and health outcome: a causal linkage study of low and middle income countries. Qual. Quant. (2016). doi:10.1007/s11135-016-0404-4

    Google Scholar 

  • Musgrove, P. (1996) Public and Private Roles in Health: Theory and Financing Patterns, HNP Discussion Paper No. 339, World Bank, Washington D.C

  • O’Donnell, O., Doorslaer, E.V., Wagstaff, A., Lindelow, M.: Analyzing Health Equity Using Household Survey Data: A Guide to Techniques & Their Implementation. The World Bank, Washington DC (2008)

    Google Scholar 

  • O’Higgins, M., Ruggles, P.: The distribution of public expenditures among households in the United States. Rev. Income Wealth 27, 37–164 (1981a)

    Google Scholar 

  • O’Higgins, M., Ruggles, P.: The distribution of public expenditures and taxes among households in the United Kingdom. Rev. Income Wealth 27, 298–326 (1981b)

    Article  Google Scholar 

  • Palmer, N.: Access and equity: evidence on the extent to which health services address the needs of the poor. In: Bennett, S., Gilson, L., Mills, A. (eds.) Health, Economic Development and Household Poverty, pp. 61–74. Routledge, London (2008)

    Google Scholar 

  • Poterba JM (1996) Government intervention in the Markets for Education and Health Care: How and Why? NBER working paper c6566. www.nber.org/chapters/c6566

  • Sahn, D.E., Younger, S.D.: Expenditure incidence in Africa: microeconomic evidence. Fisc. Stud. 21(3), 329–347 (2000)

    Article  Google Scholar 

  • Sen, A.: Why health equity? In: Anand, S., Peter, F., Sen, A. (eds.) Public Health, Ethics and Equity. Oxford University Press, Oxford (2006)

    Google Scholar 

  • Srivastava, S., Bose, M., Anup, K., Sakthivel, S.: Benefit incidence analysis of institutional child delivery in India, 2004–2014: improving equity through the national health mission? BMJ Glob. Health 1, A4–A5 (2016). doi:10.1136/bmjgh2016EPHPabstracts.5

    Google Scholar 

  • Sundar, R: Household Survey of Health Care Utilisation and Expenditure, Working paper No. 53, NCAER: New Delhi (1995)

  • van den Boom, G.J.M, Nsowah-Nuamah, N.N.N., Overbosch, G.B.: Healthcare Provision and Self-medication in Ghana (2004)

  • Wagstaff, A.: Socio-economic inequalities in Child mortality: comparison across nine developing countries. Bull. WHO 78, 19–29 (2000)

    Google Scholar 

  • World Bank: World Development Report: Investing in Health. Oxford University Press, New York (1993)

    Google Scholar 

  • World Health Organization.: World Health Organization Study on Global AGEing and Adult Health Wave 1. http://www.who.int/healthinfo/systems/sage (2015) Accessed 30 Jan 2015

Download references

Acknowledgement

We are grateful to WHO Ethical Review Committee for granting us access to the SAGE Ghana Wave 1 data. The authors wish to thank the anonymous reviewers for their insightful comments on previous versions of this paper. All errors, inaccuracies, misinterpretations, if any, are those of the authors.

Author information

Authors and Affiliations

Authors

Corresponding author

Correspondence to Micheal Kofi Boachie.

Ethics declarations

Conflict of interest

None.

Rights and permissions

Reprints and permissions

About this article

Check for updates. Verify currency and authenticity via CrossMark

Cite this article

Boachie, M.K., Ramu, K. Distribution of the benefits from public health expenditures in Ghana. Qual Quant 52, 415–430 (2018). https://doi.org/10.1007/s11135-017-0475-x

Download citation

  • Published:

  • Issue Date:

  • DOI: https://doi.org/10.1007/s11135-017-0475-x

Keywords

Navigation