ABSTRACT Using the annual data of Iran’s economy from 1981-2012, this study examines Wagner’s law and the Keynesian hypothesis about the relationship between the real government expenditure and the ...real GDP. In this regard, this paper investigated the relationship between the total government expenditure, the GDP and the relationship between government educational expenditure and GDP using bivariate and multivariate models. The multivariate model is used to reduce the specified error issues that has not been considered in many studies. The co-integration was examined using the auto regressive distributive lag method (ARDL) of both long-term and short-term relationships. In making the estimations of the Wagner’s view, the variables: real GDP, capital stock and labor force stock respectively, had a positive, a negative, and a positive impact on total government expenditure and the long-term relationship is true in this regard. Additionally, in the estimation of Keynesian model, the educational expenditures, unlike real expenditures of government, had a long-term relationship. In addition, the variable, capital, in both models had a similar effect on the real GDP, and the labor force coefficient in the presence of the total expenditures and educational expenditures were negative and positive respectively.
The need for comparing two regression functions arises frequently in statistical applications. Comparison of the usual regression functions is not very meaningful in situations where the ...distributions and the ranges of the covariates are different for the populations. For instance, in econometric studies, the prices of commodities and people's incomes observed at different time points may not be on comparable scales due to inflation and other economic factors. In this article, we describe a method of standardizing the covariates and estimating the transformed regression function, which then become comparable. We develop smooth estimates of the fractile regression function and study its statistical properties analytically as well as numerically. We also provide a few real examples that illustrate the difficulty in comparing the usual regression functions and motivate the need for the fractile transformation. Our analysis of the real examples leads to new and useful statistical conclusions that are missed by comparison of the usual regression functions.
A unique expenditure panel data set from Spain is used to examine whether the demands of households react to predictable and large changes in household income within the year. For a sample of ...households in which the husband is in full-time employment at all the interviews of the panel, there is no evidence of any synchronization between the income flow in the year and expenditures in the year. The empirical finding appears contrary to those of earlier investigators for several possible reasons: 1. One or the other set of results is wrong and is inadvertently confounding the experimental effect with some contamination. 2. Samples are from different countries. 3. This study conditions on being in full-time employment for the whole sample period. Although households might not smooth over small within-year income changes that are anticipated, they will take account of large changes, particularly if the latter are transparent.
This paper deals with different concepts of income elasticities of demand for a heterogeneous population and the relationship between individual and aggregate elasticities. In general, the aggregate ...elasticity is not equal to the mean of individual elasticities. The difference depends on the heterogeneity of the population and is quantified by a covariance term. Sign and magnitude of this term are determined by an empirical analysis based on the UK Family Expenditure Survey. It is shown that the relevant quantities can be identified from cross-sectional data and, without imposing restrictive structural assumptions, can be estimated by nonparametric techniques. It turns out that the aggregate elasticity significantly overestimates the mean of individual elasticities for many commodity groups.
This article investigates the effect of remittances on health capital accumulation. Total expenditure is divided into expenditure on medicines; and expenditure on visits and laboratory services. An ...estimation is presented for rural and urban sub-groups. Both instrumental variable and propensity score matching are used to assess the impact of remittances on health capital investment. Households increase their expenditure on medicines and other health services in the presence of remittances. This positive relationship is statistically significant in the case of remittance-receiving households living in rural areas, although the magnitude is lower in the case of total expenditure on visits and laboratory services. However, total expenditure here is likely to have a significant impact on health outcomes given their preventive nature. Remittance flows thus play a heterogeneous role in the decision-making processes of remittance-receiving household members. However, such non-labour income flows may play an important role in supporting expenditures, especially for those living in rural areas.
Group purchasing organizations gain increasing importance with respect to the supply of pharmaceutical products and frequently use multiple, exclusive or partially exclusive rebate contracts to ...exercise market power. Based on a Hotelling model of horizontal and vertical product differentiation, we examine the controversy around whether a superior rebate scheme exists, as far as consumer surplus, firms' profits and total welfare are concerned. We find that firms clearly prefer partially exclusive over multiple, and multiple over exclusive rebate contracts. In contrast, no rebate form exists that lowers total costs per se for the consumers or maximizes total welfare.
Background: Medicaid waiver home and community-based longterm care services (HCBS) may provide a partial solution to the escalating costs of long-term care. Persons with dementia can have complex ...caregiving needs; it is unknown whether their expenditures and resource utilization differ between community-based versus institutional settings. Objective: To compare expenditures and resource utilization for Medicaid recipients with dementia who received long-term care through a nursing home versus HCBS waivers. Design: Twelve-month cohort study. Setting: Indiana Medicaid administrative data from 2001 through 2004. Participants: Medicaid recipients with dementia who lived in the community 6 months before receiving long-term care through nursing homes (N = 1534) or HCBS waivers (N = 174). Measurements: Monthly inpatient and emergency department rates and total expenditures adjusted for prior use, demographics, insurance status, and comorbidities. Results: Adjusted rates of inpatient use were stable for nursing home patients (0.06) but significantly increased over 12 months for HCBS recipients (0.07- 0.12; P = 0.048). Adjusted total expenditures increased over 12 months from $1419 to $2002 for HCBS recipients (P < 0.001), but remained stable for those in nursing homes ($3413—$3336). Long-term care expenditures were on average $1688 per month higher for those in nursing homes. Conclusions: The escalation in inpatient use for HCBS waiver recipients suggests that future development of HCBS programs should consider the unique needs of persons with dementia so as to optimize their health outcomes. Despite increasing inpatient use among HCBS recipients, their overall expenditures remained significantly lower than those of nursing home patients.
The Demand for Food and Calories Subramanian, Shankar; Deaton, Angus
The Journal of political economy,
02/1996, Letnik:
104, Številka:
1
Journal Article
Recenzirano
We investigate nutrition and expenditure in rural Maharashtra in India. We estimate that the elasticity of calorie consumption with respect to total expenditure is 0.3-0.5, a range that is in accord ...with conventional wisdom. The elasticity declines only slowly with levels of living and is far from the value of zero suggested by a recent revisionist literature. In these Indian data, the calories necessary for a day's activity cost less than 5 percent of the daily wage, which makes it implausible that income is constrained by nutrition rather than the other way around.
We examine demand behaviour for intertemporal dependencies, using Spanish panel data. We present evidence that there is both state dependence and correlated heterogeneity in demand behaviour. Our ...specific findings are that food outside the home, alcohol and tobacco are habit forming, whereas clothing and small durables exhibit durability. We conclude that demand analyses using cross-section data that ignore these effects may be seriously biased. On the other hand, the degree of intertemporal dependence is not sufficiently strong to make composite 'consumption' significantly habit forming, as has been suggested in some recent analyses.
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