Dynamic Linkages among HIV/AIDS, Health Expenditures, Environmental Degradation, Life Expectancy, and Economic Growth: A Case of Eastern Africa Countries


Cite item

Full Text

Abstract

Background:Eastern African countries are among the countries with a very high HIV/AIDS prevalence rate. High HIV/AIDS prevalence is a problem that has a detrimental effect on the economic development of these countries. Previous studies have generally examined the relationship of HIV/AIDS with life expectancy or economic growth. In this study, three different models have been established and the relationship of HIV/AIDS with economic growth, health expenditures, and life expectancy has been analyzed, and current econometric methods and policy recommendations have been developed according to the results.

Objective:The aim of this study was to investigate the relationship between health expenditure, environmental degradation, life expectancy, HIV/AIDS, and economic growth.

Method:Annual data from 9 Eastern African countries for the period of 2000-2019 were used. Panel ARDL/PMG and Dumitrescu-Hurlin methods were used.

Results:HIV/AIDS negatively affects economic growth and life expectancy, and positively affects health expenditures. According to the causality results, HIV/AIDS is the cause of economic growth. In addition, a bidirectional causal relationship has been found between HIV/AIDS and life expectancy.

Conclusion:The main conclusion of the study is that HIV/AIDS plays a negative role in economic growth and life expectancy. Further steps must be taken to prevent the further spread of HIV/AIDS, which causes these factors to affect the well-being of the countries.

About the authors

Tuncer Govdeli

Ataturk University Oltu Faculty of Humanities and Social Sciences, Ataturk University

Author for correspondence.
Email: info@benthamscience.net

References

  1. Aburto JM, Kristensen FF, Sharp P. Black-white disparities during an epidemic: Life expectancy and lifespan disparity in the US, 1980-2000. Econ Hum Biol 2021; 40: 100937. doi: 10.1016/j.ehb.2020.100937 PMID: 33246298
  2. Lifson AR, Hessol NA, Rutherford GW. Progression and clinical outcome of infection due to human immunodeficiency virus. Clin Infect Dis 1992; 14(4): 966-72. doi: 10.1093/clinids/14.4.966-a PMID: 1576297
  3. Nakagawa F, May M, Phillips A. Life expectancy living with HIV. Curr Opin Infect Dis 2013; 26(1): 17-25. doi: 10.1097/QCO.0b013e32835ba6b1 PMID: 23221765
  4. Teeraananchai S, Kerr SJ, Amin J, Ruxrungtham K, Law MG. Life expectancy of HIV‐positive people after starting combination antiretroviral therapy: A meta‐analysis. HIV Med 2017; 18(4): 256-66. doi: 10.1111/hiv.12421 PMID: 27578404
  5. Kambou G, Devarajan S, Over M. The economic impact of AIDS in an African country: Simulations with a computable general equilibrium model of Cameroon. J Afr Econ 1992; 1(1): 109-30. doi: 10.1093/oxfordjournals.jae.a036738
  6. Nketiah-Amponsah E, Abubakari M, Baffour PT. Effect of HIV/AIDS on economic growth in sub-Saharan Africa: Recent evidence. Int Adv Econ Res 2019; 25(4): 469-80. doi: 10.1007/s11294-019-09754-3
  7. Adetola Odugbesan J, Rjoub H. Evaluating HIV/Aids prevalence and sustainable development in sub-Saharan Africa: The role of health expenditure. Afr Health Sci 2020; 20(2): 568-78. doi: 10.4314/ahs.v20i2.4 PMID: 33163018
  8. Cuddington JT. Modeling the macroeconomic effects of AIDS, with an application to Tanzania. World Bank Econ Rev 1993; 7(2): 173-89. doi: 10.1093/wber/7.2.173 PMID: 12318504
  9. Arndt C. HIV/AIDS, human capital, and economic growth prospects for Mozambique. J Policy Model 2006; 28(5): 477-89. doi: 10.1016/j.jpolmod.2005.12.004
  10. UNAIDS. UNAIDS Data 2023. Available from:https://www.unaids.org/sites/default/files/media_asset/UNAIDS_FactSheet_en.pdf(Accessed Oct 5, 2023).
  11. Dieleman J, Campbell M, Chapin A, et al. Evolution and patterns of global health financing 1995-2014: development assistance for health, and government, prepaid private, and out-of-pocket health spending in 184 countries. Lancet 2017; 389(10083): 1981-2004. doi: 10.1016/S0140-6736(17)30874-7 PMID: 28433256
  12. Organisation for Economic Co-operation and Development. Health: spending continues to outpace economic growth in most OECD countries Available from:https://www.oecd.org/newsroom/healthspendingcontinuestooutpaceeconomicgrowthinmostoecdcountries.htm (Accessed Oct 5, 2023).
  13. Dieleman JL, Haakenstad A, Micah A, et al. Spending on health and HIV/AIDS: Domestic health spending and development assistance in 188 countries, 1995–2015. Lancet 2018; 391(10132): 1799-829. doi: 10.1016/S0140-6736(18)30698-6 PMID: 29678342
  14. Schackman BR, Fleishman JA, Su AE, et al. The lifetime medical cost savings from preventing HIV in the United States. Med Care 2015; 53(4): 293-301. doi: 10.1097/MLR.0000000000000308 PMID: 25710311
  15. Ritchwood TD, Bishu KG, Egede LE. Trends in healthcare expenditure among people living with HIV/AIDS in the United States: Evidence from 10 Years of nationally representative data. Int J Equity Health 2017; 16(1): 188. doi: 10.1186/s12939-017-0683-y PMID: 29078785
  16. Levin A, Lin CF, James Chu C-S. Unit root tests in panel data: Asymptotic and finite-sample properties. J Econom 2002; 108(1): 1-24. doi: 10.1016/S0304-4076(01)00098-7
  17. Im KS, Pesaran MH, Shin Y. Testing for unit roots in heterogeneous panels. J Econom 2003; 115(1): 53-74. doi: 10.1016/S0304-4076(03)00092-7
  18. Maddala GS, Wu S. A comparative study of unit root tests with panel data and a new simple test. Oxf Bull Econ Stat 1999; 61(S1): 631-52. doi: 10.1111/1468-0084.0610s1631
  19. Kao C. Spurious regression and residual-based tests for cointegration in panel data. J Econom 1999; 90(1): 1-44. doi: 10.1016/S0304-4076(98)00023-2
  20. Pesaran MH, Shin Y, Smith RP. Pooled mean group estimation of dynamic heterogeneous panels. J Am Stat Assoc 1999; 94(446): 621-34. doi: 10.1080/01621459.1999.10474156
  21. Blackburne EF III, Frank MW. Estimation of nonstationary heterogeneous panels. Stata J 2007; 7(2): 197-208. doi: 10.1177/1536867X0700700204
  22. Salisu AA, Isah KO. Revisiting the oil price and stock market nexus: A nonlinear Panel ARDL approach. Econ Model 2017; 66: 258-71. doi: 10.1016/j.econmod.2017.07.010
  23. Dumitrescu EI, Hurlin C. Testing for Granger non-causality in heterogeneous panels. Econ Model 2012; 29(4): 1450-60. doi: 10.1016/j.econmod.2012.02.014
  24. Bozoklu Ş, Yilanci V. Finansal gelişme ve iktisadi büyüme arasindaki nedensellik ilişkisi: Gelişmekte olan ekonomiler için analiz. Dokuz Eylül Üniversitesi İktisadi İdari Bilimler Fakültesi Dergisi 2013; 28(2): 161-87.
  25. Govdeli T. The nexus between economic growth, health expenditure, environmental quality: a comparative study for E7 countries. Rev Environ Health 2023; 0(0) doi: 10.1515/reveh-2022-0246 PMID: 37171260
  26. Mulugeta Emeru G. Effect of public expenditure on economic growth in the case of Ethiopia. ScientificWorldJournal 2023; 2023: 1-14. doi: 10.1155/2023/9305196 PMID: 36776353
  27. Buthelezi EM. Examining the dynamic nexus of monetary and fiscal policy in South Africa: Evidence from key macroeconomic economic indicators. J Econom Finan Anal 2023; 7(1): 13-42. doi: 10.1991/jefa.v7i1.a57
  28. Mose N. The link between human capital formation and economic growth in East Africa. Asian J Econom. Business Account 2023; 23(7): 49-55. doi: 10.9734/ajeba/2023/v23i7944
  29. Ibukun CO, Omisore WM. Air pollution, health expenditure and economic growth in MINT countries: A trivariate causality test. J Econom Administr Sci 2022. doi: 10.1108/JEAS-03-2022-0074
  30. Polcyn J, Voumik LC, Ridwan M, Ray S, Vovk V. Evaluating the influences of health expenditure, energy consumption, and environmental pollution on life expectancy in Asia. Int J Environ Res Public Health 2023; 20(5): 4000. doi: 10.3390/ijerph20054000 PMID: 36901013
  31. Kouladoum JC. Inclusive education and health performance in Sub Saharan Africa. Soc Indic Res 2023; 165(3): 879-900. doi: 10.1007/s11205-022-03046-w PMID: 36536614
  32. Ayipe FI, Tanko M. Public health expenditure and under-five mortality in low-income Sub-Saharan African countries. Social Sci Human Open 2023; 8(1): 100570. doi: 10.1016/j.ssaho.2023.100570
  33. Vyas V, Mehta K, Sharma R. The nexus between toxic-air pollution, health expenditure, and economic growth: An empirical study using ARDL. Int Rev Econ Finance 2023; 84: 154-66. doi: 10.1016/j.iref.2022.11.017

Supplementary files

Supplementary Files
Action
1. JATS XML
Download

Copyright (c) 2024 Bentham Science Publishers