Health Insurance Impacts on Health and Nonmedical Consumption in a Developing Country

The authors examine the effects of the introduction of Vietnam's health insurance (VHI) program on health outcomes, health care utilization, and non-medical household consumption. The use of panel data collected before and after the insurance program's introduction allows them to eliminate...

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Main Authors: Wagstaff, Adam, Pradhan, Menno
Format: Policy Research Working Paper
Language:English
Published: World Bank, Washington, DC 2012
Subjects:
Online Access:http://documents.worldbank.org/curated/en/2005/04/5745333/health-insurance-impacts-health-nonmedical-consumption-developing-country-health-insurance-impacts-health-non-medical-consumption-developing-country
http://hdl.handle.net/10986/8988
id okr-10986-8988
recordtype oai_dc
spelling okr-10986-89882021-04-23T14:02:42Z Health Insurance Impacts on Health and Nonmedical Consumption in a Developing Country Wagstaff, Adam Pradhan, Menno AGED APPLICATIONS CHILD NUTRITION CLINICS COMMODITIES ECONOMICS EMPIRICAL ANALYSIS EMPLOYMENT EXPENDITURES HEALTH CARE HEALTH CARE UTILIZATION HEALTH CENTERS HEALTH ECONOMICS HEALTH IMPACTS HEALTH INSURANCE HEALTH INSURANCE COVERAGE HEALTH OUTCOMES HEALTH SECTOR HEALTH SERVICES HEALTH STATUS HOSPITAL CARE HOSPITAL COST HOSPITALS HOUSING HUMAN DEVELOPMENT HYGIENE INCOME INFANT MORTALITY INFANTS INFORMAL INSURANCE INFORMATION ASYMMETRIES INPATIENT CARE INTERVENTION LABOR FORCE LABOR SUPPLY LEGISLATION LIBERALIZATION LIVING STANDARDS MEDICAID MEDICAL CARE MEDICAL EXPENSES MEDICINES MIGRATION MORAL HAZARD MORTALITY MOTHERS NUTRITION NUTRITIONAL STATUS ORAL REHYDRATION THERAPY OUTPATIENT CARE PARENTS PATIENTS PHARMACISTS PHARMACY POLICY RESEARCH PRIMARY CARE PRIVATE SECTOR PROBABILITY PROGRAMS PUPILS SAVINGS SCHOOLS URBAN AREAS USE VALUE VACCINATIONS WORKERS WORKPLACE The authors examine the effects of the introduction of Vietnam's health insurance (VHI) program on health outcomes, health care utilization, and non-medical household consumption. The use of panel data collected before and after the insurance program's introduction allows them to eliminate any confounding effects due to selection on time-invariant un-observables, and their coupling of propensity score matching with a double-difference estimator allows them to reduce the risk of biases due to inappropriate specification of the outcome regression model. The authors' results suggest that Vietnam's health insurance program impacted favorably on height-for-age and weight-for-age of young school children, and on body mass index among adults. Their results suggest that among young children, VHI increases use of primary care facilities and leads to a substitution away from the use of pharmacists as a source of advice and non-prescribed medicines toward the use of them as a supplier of medicines prescribed by a health professional. Among older children and adults, VHI results in a marked increase in the use of hospital inpatient and outpatient departments. The results also suggest that VHI causes a reduction in annual out-of-pocket expenditures on health and an increase in non-medical household consumption, including food consumption, but mostly nonfood consumption. The authors' estimate of the VHI-induced reduction in out-of-pocket health spending is considerably smaller than their estimate of the VHI-induced increase in non-medical consumption, which is consistent with the idea that households hold back their consumption considerably if, through lack of health insurance, they are exposed to the risk of large out-of-pocket expenditures. This is especially plausible in a country where at the time (1993), a single visit to a public hospital cost on average the equivalent of 20 percent of a person's annual nonfood consumption. 2012-06-25T22:17:52Z 2012-06-25T22:17:52Z 2005-04 http://documents.worldbank.org/curated/en/2005/04/5745333/health-insurance-impacts-health-nonmedical-consumption-developing-country-health-insurance-impacts-health-non-medical-consumption-developing-country http://hdl.handle.net/10986/8988 English Policy Research Working Paper; No. 3563 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank World Bank, Washington, DC Publications & Research :: Policy Research Working Paper Publications & Research East Asia and Pacific Vietnam
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
language English
topic AGED
APPLICATIONS
CHILD NUTRITION
CLINICS
COMMODITIES
ECONOMICS
EMPIRICAL ANALYSIS
EMPLOYMENT
EXPENDITURES
HEALTH CARE
HEALTH CARE UTILIZATION
HEALTH CENTERS
HEALTH ECONOMICS
HEALTH IMPACTS
HEALTH INSURANCE
HEALTH INSURANCE COVERAGE
HEALTH OUTCOMES
HEALTH SECTOR
HEALTH SERVICES
HEALTH STATUS
HOSPITAL CARE
HOSPITAL COST
HOSPITALS
HOUSING
HUMAN DEVELOPMENT
HYGIENE
INCOME
INFANT MORTALITY
INFANTS
INFORMAL INSURANCE
INFORMATION ASYMMETRIES
INPATIENT CARE
INTERVENTION
LABOR FORCE
LABOR SUPPLY
LEGISLATION
LIBERALIZATION
LIVING STANDARDS
MEDICAID
MEDICAL CARE
MEDICAL EXPENSES
MEDICINES
MIGRATION
MORAL HAZARD
MORTALITY
MOTHERS
NUTRITION
NUTRITIONAL STATUS
ORAL REHYDRATION THERAPY
OUTPATIENT CARE
PARENTS
PATIENTS
PHARMACISTS
PHARMACY
POLICY RESEARCH
PRIMARY CARE
PRIVATE SECTOR
PROBABILITY
PROGRAMS
PUPILS
SAVINGS
SCHOOLS
URBAN AREAS
USE VALUE
VACCINATIONS
WORKERS
WORKPLACE
spellingShingle AGED
APPLICATIONS
CHILD NUTRITION
CLINICS
COMMODITIES
ECONOMICS
EMPIRICAL ANALYSIS
EMPLOYMENT
EXPENDITURES
HEALTH CARE
HEALTH CARE UTILIZATION
HEALTH CENTERS
HEALTH ECONOMICS
HEALTH IMPACTS
HEALTH INSURANCE
HEALTH INSURANCE COVERAGE
HEALTH OUTCOMES
HEALTH SECTOR
HEALTH SERVICES
HEALTH STATUS
HOSPITAL CARE
HOSPITAL COST
HOSPITALS
HOUSING
HUMAN DEVELOPMENT
HYGIENE
INCOME
INFANT MORTALITY
INFANTS
INFORMAL INSURANCE
INFORMATION ASYMMETRIES
INPATIENT CARE
INTERVENTION
LABOR FORCE
LABOR SUPPLY
LEGISLATION
LIBERALIZATION
LIVING STANDARDS
MEDICAID
MEDICAL CARE
MEDICAL EXPENSES
MEDICINES
MIGRATION
MORAL HAZARD
MORTALITY
MOTHERS
NUTRITION
NUTRITIONAL STATUS
ORAL REHYDRATION THERAPY
OUTPATIENT CARE
PARENTS
PATIENTS
PHARMACISTS
PHARMACY
POLICY RESEARCH
PRIMARY CARE
PRIVATE SECTOR
PROBABILITY
PROGRAMS
PUPILS
SAVINGS
SCHOOLS
URBAN AREAS
USE VALUE
VACCINATIONS
WORKERS
WORKPLACE
Wagstaff, Adam
Pradhan, Menno
Health Insurance Impacts on Health and Nonmedical Consumption in a Developing Country
geographic_facet East Asia and Pacific
Vietnam
relation Policy Research Working Paper; No. 3563
description The authors examine the effects of the introduction of Vietnam's health insurance (VHI) program on health outcomes, health care utilization, and non-medical household consumption. The use of panel data collected before and after the insurance program's introduction allows them to eliminate any confounding effects due to selection on time-invariant un-observables, and their coupling of propensity score matching with a double-difference estimator allows them to reduce the risk of biases due to inappropriate specification of the outcome regression model. The authors' results suggest that Vietnam's health insurance program impacted favorably on height-for-age and weight-for-age of young school children, and on body mass index among adults. Their results suggest that among young children, VHI increases use of primary care facilities and leads to a substitution away from the use of pharmacists as a source of advice and non-prescribed medicines toward the use of them as a supplier of medicines prescribed by a health professional. Among older children and adults, VHI results in a marked increase in the use of hospital inpatient and outpatient departments. The results also suggest that VHI causes a reduction in annual out-of-pocket expenditures on health and an increase in non-medical household consumption, including food consumption, but mostly nonfood consumption. The authors' estimate of the VHI-induced reduction in out-of-pocket health spending is considerably smaller than their estimate of the VHI-induced increase in non-medical consumption, which is consistent with the idea that households hold back their consumption considerably if, through lack of health insurance, they are exposed to the risk of large out-of-pocket expenditures. This is especially plausible in a country where at the time (1993), a single visit to a public hospital cost on average the equivalent of 20 percent of a person's annual nonfood consumption.
format Publications & Research :: Policy Research Working Paper
author Wagstaff, Adam
Pradhan, Menno
author_facet Wagstaff, Adam
Pradhan, Menno
author_sort Wagstaff, Adam
title Health Insurance Impacts on Health and Nonmedical Consumption in a Developing Country
title_short Health Insurance Impacts on Health and Nonmedical Consumption in a Developing Country
title_full Health Insurance Impacts on Health and Nonmedical Consumption in a Developing Country
title_fullStr Health Insurance Impacts on Health and Nonmedical Consumption in a Developing Country
title_full_unstemmed Health Insurance Impacts on Health and Nonmedical Consumption in a Developing Country
title_sort health insurance impacts on health and nonmedical consumption in a developing country
publisher World Bank, Washington, DC
publishDate 2012
url http://documents.worldbank.org/curated/en/2005/04/5745333/health-insurance-impacts-health-nonmedical-consumption-developing-country-health-insurance-impacts-health-non-medical-consumption-developing-country
http://hdl.handle.net/10986/8988
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