Scandinavian Working Papers in Economics
SSE/EFI Working Paper Series in Economics and Finance,
Stockholm School of Economics
No 258: International Health Expenditure and GDP: New Multivariate Cointegration Panel Data Results
Ulf-G. Gerdtham () and Mickael Löthgren ()
Additional contact information
Ulf-G. Gerdtham: Centre for Health Economics, Postal: Stockholm School of Economics, P.O. Box 6501, S-113 83 Stockholm, Sweden
Mickael Löthgren: Dept. of Economic Statistics, Stockholm School of Economics, Postal: Stockholm School of Economics, P.O. Box 6501, S-113 83 Stockholm, Sweden
Abstract: In this paper we test for existence of cointegration between health expenditure and GDP using data from 19 OECD countries for the period 1960-1995. Country-by-country and panel results based on the Johansen multivariate likelihood-based inference and a new panel test for cointegration rank are presented. The empirical modelling is based on a bivariate vector error correction model that allows for trending data as well as an intercept and a trend in the cointegrating relation. Given this model, the main result indicates that a cointegrating relation exists between health expenditure and GDP.
Keywords: Cointegration; Heterogeneous dynamic panels; Maximum likelihood
13 pages, September 21, 1998
- Published as
- Ulf-G. Gerdtham and Mickael Löthgren, (2002), 'New Panel Results on Cointegration of International Health Expenditure and GDP', Applied Economics, vol 34, pages 1679-1686
Questions (including download problems) about the papers in this series should be directed to Helena Lundin ()
Report other problems with accessing this service to Sune Karlsson ().
RePEc:hhs:hastef:0258This page generated on 2024-09-13 22:15:04.