A Step toward Sustainable Health: The Influence of Health Indicators, Paramedical Workers, and Health Expenditure on Economic Growth in Emerging Economies

Abstract

Abstract

Worldwide, nations spend much of their budget on health to develop human capital, labor productivity, and growth. In developed countries, life expectancy, natural birth, and numbers of health care centers are high, and the availability of doctors and the paramedical staff-to-patient ratio are also very high. Therefore, emerging economies are also trying to allocate more finance to their health sector. To achieve the objective, data were collected (1961 to 2019) and analyzed with the assistance of modern econometric techniques. The study finds that health indicators, paramedical staff, and public health expenditures are significantly playing their role in influencing economic growth. It is seen that a one percent increase in health expenditures, number of hospitals, health indicators, and paramedical persons, growth rate influenced by 0.006, 0.0053, 1.0521, and 0.0003%, respectively. Moreover, the diagnostic test shows that the model's parameters are credible, stable, and reliable in the current form. Furthermore, if the health expenses are employed in the health care facilities and the establishment of new health centers, it will positively contribute to the growth process. The study also suggests that hospital management should be in the hands of management personnel, not doctors because a doctor may be good at diagnosing but in management control, they have no capacity.