Using Health Accounts... To Assess Equity

One of the central questions policy makers, researchers and citizens ask is: Are government funds benefiting the poor? Health accounts, in combination with information about the use of health services, can help answer this question using a methodology known as “benefit incidence analysis.” There are three steps in benefit incidence analysis:

  • Step 1. Use health accounts to estimate the unit cost or unit subsidy (in current expenditures) of providing a service [use expenditure studies or public budgets and service statistics];

  • Step 2. Impute the unit subsidy to households or individuals who are identified as users of the service [use household survey data on utilization, with income measures]; and

  • Step 3. Aggregate individuals (or households) into subgroups of the population to compare distribution of the subsidy among groups (income, gender, etc.).

Related Links and Articles

Documents
EQUITAP Project

Presentation about EQUITAP

 

EQUITAP (“Equity in Asia-Pacific Health Systems”) is a collaborative effort of more than fifteen research teams in Asia and Europe engaged in examining equity in national health systems in the Asia-Pacific region. The work of the collaboration involves the development of methodological tools and the assessment of the performance of national health systems in Bangladesh , China , Hong Kong SAR, India , Indonesia , Japan , Korea , Kyrgyz Republic , Malaysia , Mongolia , Nepal , Sri Lanka , Taiwan , Thailand and Viet Nam . The project is an initiative of the Asia-Pacific National Health Accounts Network (Institute of Policy Studies, Sri Lanka) in collaboration with Erasmus University (The Netherlands) and London School of Economics (United Kingdom).

EQUITAP Working Papers:

Who pays for health care in Asia?

Who benefits from public spending on health care in Asia?

Paying out-of-pocket for health care in Asia: Catastrophic and poverty impact

Health and Equity: A look at Health Financing in the Dominican Republic 181 KB, PDF The study by Magdalena Rathe, conducted with financing by USAID, focuses on an analysis of equity in health financing in the Dominican Republic, and particularly on family financing and the government's possibilities to intervene to correct inequalities, to improve income distribution and to reduce poverty. In this regard, the study is based on two statistical sources that were produced in the country for the first time in 1996: the National Health Accounts, and the Demographics and Health Survey (ENDESA), which included a family health expenditure module for that year.
Poverty Reduction Strategy Sourcebook - Health, Nutrition & Population Website

PowerPoint Presentation About the PRS Sourcebook 135 KB, PDF

The Sourcebook is a guide to assist countries in the development and strengthening of poverty reduction strategies. The Sourcebook reflects the thinking and practices associated with the Comprehensive Development Framework, as well as lessons emerging from the forthcoming World Development Report on Poverty, and good international practices related to poverty reduction. The current draft of the Sourcebook has been prepared mainly by Bank and Fund staff and reflects their experience working in various sectors and regions, although it has benefited from feedback from government officials in several African countries and from staff of related UN organizations.
Health System Inequalities and Inequities in Latin America and the Caribbean: Findings and Policy Implications PDF This 2000 working document by Rubén M. Suárez-Berenguela of PAHO summarizes the results of a study on measuring health system inequalities in six countries of the Latin American and Caribbean region: Brazil, Ecuador, Guatemala, Jamaica, Mexico, and Peru.  Concepts of vertical and horizontal equity, and inequity and inequality indices are used to measure inequities in access to health care services, and in the financing of national health systems. Benefit incidence analysis is used to assess the distribution of the benefits of government expenditures on health by socioeconomic groups. The paper includes a summary of the results of the measurement of health status inequalities, the degree of inequities in access to health care services (preventive, curative, and chronic care), and inequities in the financing and distribution of benefits of government expenditures on health by socioeconomic groups. Policy implications of the findings are also discussed.
Public Spending on Health Care in Africa: Co the Poor Benefit? 243 KB, PDF This paper by F. Castro-Leal et al, published in the Bulletin of the World Health Organization, 2000 v.78 (1), examines public spending on curative health care in several African countries and finds that this spending favors mostly the better-off than the poor.
World Development Report 2000/2001: Attacking Poverty Website This WDR edition follows two others in 1980 and 1990. It argues that major reductions in all dimensions of poverty are indeed possible - that the interaction of markets, state institutions, and civil societies can harness the forces of economic integration and technological change to serve the interests of poor people and increase their share of society's prosperity.
Organizations
International Monetary Fund - Poverty Reduction Strategy Papers (PRSP) PRSPs describe the country's macroeconomic, structural and social policies and programs over a three year or longer horizon to promote broad-based growth and reduce poverty, as well as associated external financing needs and major sources of financing.
Public Spending for Equity: The Distributional Dimension World Bank's Vinaya Swaroop published an overview of issues related to equity and government actions.
World Bank's PovertyNet Information resources related to global poverty and inequality

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