SOCIOECONOMIC DETERMINANTS OF LONG-TERM PUBLIC HEALTH EXPENDITURES IN TURKEY

Abstract

The most basic contribution of states to reach the high living standards of their citizens is the provision of effective public health services. However, it is necessary to have sufficient financial resources for the provision of effective public health services. At the same time, population characteristics that will support the formation of needs also influence this. In short, it cannot be denied that public social expenditures have socioeconomic determinants. In this study, the socioeconomic factors that have a decisive feature in public health expenditures between the years 1981 and 2017 are investigated. The econometric technique used in this practice is Granger Causality analysis. Before proceeding to this analysis, the stationarity assumption is tested, and then the Granger Causality analysis is carried out. Potential determinant variables consist of thirteen variables, six of which are economic and seven are social. It is concluded that none of the six economic variables are the cause of public health expenditures. However, it is determined that three of the seven social indicators are the cause of public health expenditures with a margin of error of 5% and the remaining four with a margin of error of 10%. This situation supports that, social reasons rather than economic reasons are determinants of public health expenditures in our country.