In this article, we examine the unit root null hypothesis for per capita total Health Expenditures (HEs), per capita private HEs and per capita public HEs for 29 Organization for Economic Co-operation and Development (OECD) countries. The novelty of our work is that we use a new nonlinear unit...

The aim of the paper is to present new evidence on the relationship between income and health care expenditure allowing for (i) substitution and complementary relationships between private and public health care expenditure, (ii) presence of structural breaks in the dependent variables, and...

Baumol's (1967) model of 'unbalanced growth' yields a supply-side explanation for the 'cost explosion' in health care. Applying a testing strategy suggested by Hartwig (2008), a sprawling literature affirms that the 'Baumol effect' has both a statistically and economically significant impact on...

In vielen Industrieländern sind in den vergangenen Jahren die Gesundheitsausgaben deutlich angestiegen. Kostendämpfungsmaßnahmen waren oft die Folge. Mit Blick auf andere Branchen überrascht dies, da zunächst keine Argumente gegen einen Anstieg der Gesundheitsausgaben vorgebracht werden...

In recent years the welfare state has come under attack from economists, and in many OECD countries there have been calls for spending on the welfare state to be rolled back. Critics argue that the size of transfer programs is responsible for a decline in economic performance and that cuts in...