Journal of Business
Administration and Social Studies
ORIGINAL ARTICLE

Public Policy and Health Outcomes: Impact of Health Expenditure on Life Expectancy and Child Mortality

1.

Department of Economics, Lead City University, Ibadan, Nigeria

2.

Federal School of Statistics, Oyo state, Nigeria

3.

Department of Economics, Olabisi Onabanjo University, Ago-Iwoye, Nigeria

Journal of Business Administration and Social Studies 2023; 7: 19-31
DOI: 10.5152/JBASS.2023.23006
Read: 730 Downloads: 276 Published: 04 May 2023

Every government health strategy that has come before the present administration in Nigeria has had the same goal to reduce morbidity and death while raising life expectancy and preventing the spread of illness.  It is challenging to draw the conclusion that the amount spent on healthcare services and facilities matches the results that are observed in the industry. Hence, the purpose of this research paper is to ascertain how government health spending affects life longevity and child mortality in Nigeria within the periods, 1984–2020. Using the autoregressive distributed lag estimator, the study found that public health spending negatively and significantly influenced life expectancy in the short run. However, the significant impact of public health spending on long-run life expectancy is positive. Meanwhile, it was discovered that government health expenses do not have a significant impact on infant mortality during the periods under study. The long-run positive links between public health spending and life expectancy indicate that healthy lifestyles and the broader social determinants of health are vital in improving life expectancy. This direct relationship emphasizes the importance of improving value for money in healthcare systems. It includes a greater emphasis on health promotion and other low-cost interventions, as well as a reduction in ineffective spending and waste. The government needs to invest more funds in healthcare infrastructure and services if it is to enhance the population’s health outcomes. It is therefore envisaged that public spending should be comparable to that of industrialized nations. Also, steps should be taken to boost the government’s revenue stream so that it may grow and spend more of its budgetary allotment on health-related facilities and services.

Cite this article as: Alimi, O. Y., Odugbemi, A. A., & Osisanwo, B. G. (2023). Public policy and health outcomes: impact of health expenditure on life expectancy and child mortality. Journal of Business Administration and Social Studies, 7(1), 19-31.

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