Undergraduate Economist

Perspectives of an Economics student

India: Public and Private spending on Health

Posted by Alex M Thomas on July 15, 2007

The following three maps will show us that, though the spending in health by the private sector is comparatively much larger than the public sector, yet HIV prevalence is very high in India.

This shows the dire need for targeted public investment in health care. This is because private sector investment does not extend to the rural areas and regions with low purchasing power. [Investment is a part of spending]

Public Health Spending

Territory size shows the proportion of worldwide spending on public health services that is spent there. This spending is measured in purchasing power parity.

HIV Prevalence

 

Territory size shows the proportion of all people aged 15-49 with HIV (Human Immunodeficiency Virus) worldwide, living there.

Private Health Spending

Territory size shows the proportion of worldwide private spending on health services that is spent there. This spending is measured in purchasing power parity.

Source: Worldmapper

[Cross posted @ Krish World]

8 Responses to “India: Public and Private spending on Health”

  1. Krish On Politics » India: Public and Private spending Says:

    [...] posted @ Undergraduate Economist] Post written by alexmthomasIf you enjoyed this post, then make sure you subscribe to my RSS [...]

  2. vatsan Says:

    //This is because private sector spending does not extend to the rural areas and regions with low purchasing power.//

    before making such conclusions, its important to understand the manner in which data has been calculated. Private health spending is not INVESTMENT in healthcare facilities (ie hospitals beds etc), rather it is the out of pocked expenses borne by the patient, either through insurance or without insurance.

    In this case, private expenditure is possible only to those who have the purchasing power, and is out of reach of the majority. The problem with private health expenditure is that it denies access to a majority, therefore public health systems have to come in.

    Make those changes!!

  3. vatsan Says:

    in your conclusion, you have gotten the investment in healthcare and expenditure confused. Investment in healthcare does not extend to rural areas, while expenditure might still exist (ppl moving to urban centers for treatment).

  4. Alex M Thomas Says:

    Vatsan,

    Point noted.

    The map builders have included investment in spending.

    Like you said, even though people pay more, it does not necessarily mean there is a rise in private spending.[Same case of GDP too.]

  5. Aashish Says:

    I dont understand the maps.

  6. Alex M Thomas Says:

    Aashish,

    In the first map, India looks deflated which is because the public spending is very less. And in the second one, it looks inflated which is owing to the high prevalence of HIV.

  7. Healthcare Economist · Maps on acid Says:

    [...] Undergraduate Economist has three interesting maps to consider. The first draws each country with its size proportional to [...]

  8. India: Public and Private spending on Health « Krish On Politics Says:

    [...] [Cross posted @ Undergraduate Economist] [...]

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